Atalanta Sosnoff Capital LLC Sells 52,008 Shares of The Charles Schwab Corporation $SCHW

Key Points

• Atalanta Sosnoff Capital trimmed its Charles Schwab stake by 3.8% in the fourth quarter, selling 52,008 shares and ending with 1.31 million shares valued at about $130.9 million.
• Other institutional investors also adjusted holdings, with several smaller firms initiating new positions; overall, 84.38% of SCHW shares are owned by institutions.
• Analyst sentiment remains constructive, with multiple firms maintaining or raising targets and the consensus rating at Moderate Buy with a $116 price target, while Schwab also reported strong quarterly earnings and increased its dividend.

Atalanta Sosnoff Capital LLC cut its position in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 3.8% during the 4th quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 1,309,688 shares of the financial services provider's stock after selling 52,008 shares during the quarter. Charles Schwab comprises about 2.6% of Atalanta Sosnoff Capital LLC's holdings, making the stock its 11th largest position. Atalanta Sosnoff Capital LLC owned about 0.07% of Charles Schwab worth $130,851,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently made changes to their positions in SCHW. Dogwood Wealth Management LLC boosted its holdings in shares of Charles Schwab by 99.2% in 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 in the last quarter. Piscataqua Savings Bank purchased a new position in shares of Charles Schwab in the 4th quarter worth about $26,000. GoalVest Advisory LLC purchased a new position in shares of Charles Schwab in the 4th quarter worth about $28,000. Beacon Financial Strategies CORP purchased a new position in shares of Charles Schwab in the 4th quarter worth about $29,000. Finally, Optima Capital LLC purchased a new position in shares of Charles Schwab in the 4th quarter worth about $30,000. 84.38% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

SCHW has been the subject of a number of research reports. Weiss Ratings upgraded Charles Schwab from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday, March 23rd. Piper Sandler upped their price objective on Charles Schwab from $103.00 to $105.00 and gave the stock a "neutral" rating in a report on Friday, May 15th. Truist Financial cut their price objective on Charles Schwab from $122.00 to $120.00 and set a "buy" rating for the company in a report on Wednesday, April 1st. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and issued a $128.00 price objective on shares of Charles Schwab in a report on Friday, May 15th. Finally, Barclays increased their target price on Charles Schwab from $117.00 to $127.00 and gave the company an "overweight" rating in a report on Friday, May 15th. One research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, three have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $116.00.

Key Headlines Impacting Charles Schwab

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

• Positive Sentiment: Schwab reported monthly activity highlights for May, and the company said the month set records, reinforcing confidence in client growth and trading momentum. Schwab Reports Monthly Activity Highlights
• Positive Sentiment: Market commentary says the stock is also getting a lift from a broader rebound in financials and renewed investor focus on Schwab’s strong client and trading trends. Charles Schwab jumps as financials rebound and investors refocus on Schwab’s strong client/trading momentum
• Positive Sentiment: Recent analyst actions have been constructive, with firms raising earnings estimates and maintaining buy-style ratings, which supports the bullish setup for SCHW. Charles Schwab stock research page
• Neutral Sentiment: Schwab also announced the closure and liquidation of its Schwab Ariel Opportunities ETF, a fund-level action that appears unlikely to materially affect the parent company’s near-term stock performance. Schwab Asset Management Announces Closure and Liquidation of the Schwab Ariel Opportunities ETF (SAEF)
• Negative Sentiment: There is still some caution in the background from mixed institutional positioning and heavy insider selling over the past six months, which could limit upside if sentiment weakens. Charles Schwab jumps as financials rebound and investors refocus on Schwab’s strong client/trading momentum

Insider Buying and Selling

In related news, insider Nigel J. Murtagh sold 41,297 shares of the firm's stock in a transaction on Tuesday, April 14th. The stock was sold at an average price of $99.00, for a total value of $4,088,403.00. Following the transaction, the insider directly owned 57,972 shares of the company's stock, valued at approximately $5,739,228. This trade represents a 41.60% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Frank C. Herringer sold 2,520 shares of the firm's stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $90.60, for a total value of $228,312.00. Following the sale, the director directly owned 177,508 shares in the company, valued at approximately $16,082,224.80. This represents a 1.40% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 59,700 shares of company stock valued at $5,889,131. 6.30% of the stock is owned by company insiders.

Charles Schwab Stock Up 2.6%

SCHW stock opened at $91.04 on Friday. The Charles Schwab Corporation has a twelve month low of $83.96 and a twelve month high of $107.50. The company has a quick ratio of 0.62, a current ratio of 0.62 and a debt-to-equity ratio of 0.48. The firm has a market cap of $158.32 billion, a PE ratio of 18.06, a price-to-earnings-growth ratio of 0.84 and a beta of 0.77. The business has a 50 day moving average of $91.05 and a 200 day moving average of $95.25.

Charles Schwab (NYSE:SCHW - Get Free Report) last posted its quarterly earnings data on Thursday, April 16th. The financial services provider reported $1.43 earnings per share for the quarter, beating analysts' consensus estimates of $1.39 by $0.04. Charles Schwab had a return on equity of 23.05% and a net margin of 37.99%.The company had revenue of $6.48 billion during the quarter, compared to analyst estimates of $6.39 billion. During the same quarter last year, the company earned $1.04 EPS. The firm's revenue for the quarter was up 15.8% on a year-over-year basis. Charles Schwab has set its FY 2026 guidance at 5.700-5.800 EPS. On average, research analysts forecast that The Charles Schwab Corporation will post 6.13 EPS for the current fiscal year.

Charles Schwab Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, May 22nd. Stockholders of record on Friday, May 8th were paid a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date was Friday, May 8th. Charles Schwab's dividend payout ratio (DPR) is 25.40%.

Charles Schwab Profile

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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