Comerica Bank Grows Stock Position in The Charles Schwab Corporation $SCHW

Key Points

• Comerica Bank increased its stake in The Charles Schwab Corporation by 14.5% during the 1st quarter, owning 359,348 shares valued at approximately $28.13 million at quarter-end.
• In a recent earnings report, Charles Schwab exceeded analysts' expectations with an EPS of $1.14 and reported quarterly revenue of $5.85 billion, marking a 24.8% growth year-over-year.
• The company has initiated a $20 billion share buyback program, allowing it to repurchase up to 11.6% of its stock, signaling confidence in its valuation.

Comerica Bank grew its position in shares of The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 14.5% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 359,348 shares of the financial services provider's stock after acquiring an additional 45,526 shares during the quarter. Comerica Bank's holdings in Charles Schwab were worth $28,130,000 at the end of the most recent quarter.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Freedom Investment Management Inc. increased its holdings in Charles Schwab by 10.2% during the 1st quarter. Freedom Investment Management Inc. now owns 3,869 shares of the financial services provider's stock worth $303,000 after purchasing an additional 359 shares during the last quarter. MetLife Investment Management LLC boosted its position in Charles Schwab by 11.6% during the 1st quarter. MetLife Investment Management LLC now owns 448,982 shares of the financial services provider's stock valued at $35,146,000 after purchasing an additional 46,793 shares during the period. Synovus Financial Corp boosted its position in Charles Schwab by 17.5% during the 1st quarter. Synovus Financial Corp now owns 62,383 shares of the financial services provider's stock valued at $4,883,000 after purchasing an additional 9,276 shares during the period. Oak Harvest Investment Services acquired a new position in Charles Schwab during the 1st quarter worth $3,284,000. Finally, ICONIQ Capital LLC boosted its position in Charles Schwab by 19.2% during the 1st quarter. ICONIQ Capital LLC now owns 7,988 shares of the financial services provider's stock worth $625,000 after acquiring an additional 1,286 shares during the period. 84.38% of the stock is currently owned by institutional investors and hedge funds.

Charles Schwab Stock Down 0.2%

NYSE SCHW opened at $95.6510 on Monday. The firm has a market cap of $173.63 billion, a PE ratio of 25.71, a price-to-earnings-growth ratio of 0.94 and a beta of 0.96. The company has a debt-to-equity ratio of 0.47, a current ratio of 0.55 and a quick ratio of 0.55. The stock's 50 day simple moving average is $93.85 and its 200 day simple moving average is $85.38. The Charles Schwab Corporation has a one year low of $61.16 and a one year high of $99.59.

Charles Schwab (NYSE:SCHW - Get Free Report) last announced its quarterly earnings data on Friday, July 18th. The financial services provider reported $1.14 EPS for the quarter, beating analysts' consensus estimates of $1.10 by $0.04. Charles Schwab had a return on equity of 19.30% and a net margin of 33.68%.The firm had revenue of $5.85 billion for the quarter, compared to analyst estimates of $5.64 billion. During the same period last year, the company earned $0.73 EPS. The business's quarterly revenue was up 24.8% compared to the same quarter last year. As a group, sell-side analysts forecast that The Charles Schwab Corporation will post 4.22 earnings per share for the current fiscal year.

Charles Schwab announced that its Board of Directors has initiated a share repurchase program on Thursday, July 24th that permits the company to buyback $20.00 billion in shares. This buyback authorization permits the financial services provider to buy up to 11.6% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's leadership believes its stock is undervalued.

Charles Schwab Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, August 22nd. Shareholders of record on Friday, August 8th were paid a $0.27 dividend. The ex-dividend date of this dividend was Friday, August 8th. This represents a $1.08 annualized dividend and a dividend yield of 1.1%. Charles Schwab's dividend payout ratio (DPR) is currently 29.03%.

Insider Transactions at Charles Schwab

In other Charles Schwab news, insider Nigel J. Murtagh sold 24,096 shares of Charles Schwab stock in a transaction dated Tuesday, July 29th. The stock was sold at an average price of $97.91, for a total value of $2,359,239.36. Following the sale, the insider owned 58,999 shares of the company's stock, valued at $5,776,592.09. This trade represents a 29.00% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Paul V. Woolway sold 3,290 shares of the firm's stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $96.06, for a total value of $316,037.40. Following the completion of the transaction, the insider owned 41,188 shares of the company's stock, valued at $3,956,519.28. The trade was a 7.40% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 250,340 shares of company stock worth $24,250,303. 6.30% of the stock is currently owned by company insiders.

Analyst Ratings Changes

SCHW has been the topic of a number of research reports. TD Securities boosted their price objective on Charles Schwab from $95.00 to $113.00 and gave the stock a "buy" rating in a research note on Tuesday, May 20th. William Blair lowered Charles Schwab from a "strong-buy" rating to a "hold" rating in a research report on Thursday, July 3rd. Piper Sandler boosted their target price on Charles Schwab from $80.00 to $92.00 and gave the company a "neutral" rating in a research note on Tuesday, July 15th. Citigroup boosted their target price on Charles Schwab from $105.00 to $110.00 and gave the company a "buy" rating in a research note on Monday, July 21st. Finally, Bank of America upped their price target on Charles Schwab from $83.00 to $84.00 and gave the stock an "underperform" rating in a research note on Monday, July 21st. Sixteen equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $99.60.

Charles Schwab Company Profile

The Charles Schwab Corporation, together with its subsidiaries, operates as a savings and loan holding company that provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services in the United States and internationally. The company operates in two segments, Investor Services and Advisor Services.

Want to see what other hedge funds are holding SCHW? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for The Charles Schwab Corporation (NYSE:SCHW - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.