Assetmark Inc. Boosts Stock Holdings in The Charles Schwab Corporation $SCHW

Key Points

• Assetmark Inc. increased its stake in Charles Schwab by 10.5% in the first quarter, bringing its holdings to 1,113,927 shares valued at about $104.7 million. The filing underscores continued institutional interest in SCHW, with hedge funds and other institutions owning 84.38% of the stock.
• Analysts are turning more bullish ahead of Schwab’s Q2 earnings report on July 21, with upgraded price targets and a consensus rating of “Moderate Buy.” Recent commentary points to potentially stronger trading revenue, net interest revenue, and asset management fees.
• Charles Schwab has recently posted solid operating results and returns, including Q1 EPS of $1.43 versus $1.39 expected and revenue growth of 15.8% year over year. The company also pays a quarterly dividend of $0.32 per share, yielding about 1.2% annually.

Assetmark Inc. increased its stake in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 10.5% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 1,113,927 shares of the financial services provider's stock after acquiring an additional 106,214 shares during the period. Assetmark Inc. owned approximately 0.06% of Charles Schwab worth $104,687,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of the stock. Dogwood Wealth Management LLC increased its holdings in Charles Schwab by 99.2% during the 4th quarter. Dogwood Wealth Management LLC now owns 247 shares of the financial services provider's stock worth $25,000 after purchasing an additional 123 shares during the period. Piscataqua Savings Bank purchased a new position in shares of Charles Schwab in the 4th quarter valued at about $26,000. GoalVest Advisory LLC purchased a new position in shares of Charles Schwab in the 4th quarter valued at about $28,000. Beacon Financial Strategies CORP acquired a new position in shares of Charles Schwab during the fourth quarter worth about $29,000. Finally, Optima Capital LLC acquired a new position in shares of Charles Schwab during the fourth quarter worth about $30,000. 84.38% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Charles Schwab

Here are the key news stories impacting Charles Schwab this week:

• Positive Sentiment: Analysts have become more upbeat on Schwab’s upcoming Q2 results, with the most accurate earnings estimate now above the consensus ahead of the July 21 report, suggesting a better-than-expected quarter may be possible.
• Positive Sentiment: Coverage around the earnings preview points to stronger trading revenue, higher net interest revenue, and rising asset management fees, all of which could support earnings growth if client activity remains firm.
• Positive Sentiment: A separate valuation-focused article said SCHW still looks reasonably cheap versus its estimated intrinsic value, with some models implying upside if earnings continue to improve.
• Neutral Sentiment: Schwab’s annual RIA survey highlighted that client firms still face organic growth and hiring challenges, which is useful context for the wealth-management backdrop but not a direct near-term catalyst for the stock.
• Neutral Sentiment: One article revisited the company’s Q2 performance expectations and key metrics, keeping focus on the upcoming earnings release rather than introducing a new business development.
• Neutral Sentiment: A Bloomberg piece about the drop in microcap IPOs after regulatory crackdowns reflects a broader market and regulatory trend, but it does not appear to materially affect Schwab’s fundamentals directly.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on SCHW shares. Weiss Ratings restated a "buy (b-)" rating on shares of Charles Schwab in a research note on Thursday, June 18th. Morgan Stanley boosted their price target on shares of Charles Schwab from $125.00 to $133.00 and gave the stock an "overweight" rating in a report on Friday, July 10th. Argus set a $108.00 price objective on shares of Charles Schwab in a research report on Monday, April 20th. Keefe, Bruyette & Woods began coverage on shares of Charles Schwab in a report on Wednesday, April 8th. They issued an "outperform" rating and a $110.00 price objective on the stock. Finally, Piper Sandler boosted their target price on shares of Charles Schwab from $105.00 to $112.00 and gave the stock a "neutral" rating in a research note on Wednesday. Two analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $116.68.

Charles Schwab Stock Down 0.0%

SCHW stock opened at $102.75 on Friday. The company has a current ratio of 0.62, a quick ratio of 0.62 and a debt-to-equity ratio of 0.48. The Charles Schwab Corporation has a twelve month low of $83.96 and a twelve month high of $107.50. The company's 50 day moving average is $92.51 and its two-hundred day moving average is $95.32. The stock has a market cap of $178.70 billion, a P/E ratio of 20.39, a PEG ratio of 0.86 and a beta of 0.77.

Charles Schwab (NYSE:SCHW - Get Free Report) last issued its quarterly earnings data on Thursday, April 16th. The financial services provider reported $1.43 earnings per share for the quarter, topping the consensus estimate of $1.39 by $0.04. Charles Schwab had a net margin of 37.99% and a return on equity of 23.05%. The business had revenue of $6.48 billion during the quarter, compared to the consensus estimate of $6.39 billion. During the same quarter in the previous year, the firm earned $1.04 EPS. The company's revenue was up 15.8% compared to the same quarter last year. Research analysts expect that The Charles Schwab Corporation will post 6.24 earnings per share for the current fiscal year.

Charles Schwab Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, May 22nd. Investors of record on Friday, May 8th were paid a dividend of $0.32 per share. This represents a $1.28 annualized dividend and a yield of 1.2%. The ex-dividend date was Friday, May 8th. Charles Schwab's dividend payout ratio (DPR) is currently 25.40%.

Insider Buying and Selling at Charles Schwab

In other Charles Schwab news, Director Frank C. Herringer sold 2,520 shares of the firm's stock in a transaction dated Tuesday, April 28th. The stock was sold at an average price of $90.60, for a total transaction of $228,312.00. Following the transaction, the director owned 177,508 shares of the company's stock, valued at approximately $16,082,224.80. This trade represents a 1.40% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Jonathan S. Beatty sold 2,000 shares of Charles Schwab stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $100.01, for a total value of $200,020.00. Following the sale, the insider owned 13,738 shares in the company, valued at $1,373,937.38. This trade represents a 12.71% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 6,520 shares of company stock worth $622,392 over the last quarter. 6.30% of the stock is owned by company insiders.

About Charles Schwab

Charles Schwab Corporation NYSE: SCHW is a diversified financial services firm that provides brokerage, banking, wealth management and advisory services to individual investors, independent investment advisors and institutional clients. Its primary offerings include retail brokerage accounts, online trading platforms, Schwab-branded mutual funds and exchange-traded funds (ETFs), retirement plan services, custodial services for independent Registered Investment Advisors (RIAs), and banking products through Charles Schwab Bank.

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