Community Financial Services Group LLC Has $4.25 Million Position in The Charles Schwab Corporation $SCHW

Key Points

• Community Financial Services Group LLC reduced its position in The Charles Schwab Corporation by 7.5%, bringing their total to 46,626 shares valued at approximately $4.25 million as of the end of the most recent reporting period.
• Several hedge funds, including Vanguard Group Inc. and Wellington Management Group LLP, significantly increased their holdings in Charles Schwab during the first quarter, underscoring strong institutional interest in the stock.
• Charles Schwab recently announced a $20 billion share repurchase plan, indicating the board believes the stock is currently undervalued, along with declaring a quarterly dividend of $0.27 per share.

Community Financial Services Group LLC cut its position in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 7.5% during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The firm owned 46,626 shares of the financial services provider's stock after selling 3,797 shares during the period. Community Financial Services Group LLC's holdings in Charles Schwab were worth $4,254,000 at the end of the most recent reporting period.

Several other hedge funds also recently bought and sold shares of SCHW. Vanguard Group Inc. raised its holdings in Charles Schwab by 15.4% in the first quarter. Vanguard Group Inc. now owns 148,395,252 shares of the financial services provider's stock worth $11,616,380,000 after purchasing an additional 19,817,022 shares during the period. Wellington Management Group LLP raised its holdings in Charles Schwab by 595.7% in the first quarter. Wellington Management Group LLP now owns 15,488,777 shares of the financial services provider's stock worth $1,212,461,000 after purchasing an additional 13,262,309 shares during the period. Primecap Management Co. CA raised its holdings in Charles Schwab by 229.3% in the first quarter. Primecap Management Co. CA now owns 14,002,078 shares of the financial services provider's stock worth $1,096,083,000 after purchasing an additional 9,749,728 shares during the period. Price T Rowe Associates Inc. MD raised its holdings in Charles Schwab by 12.3% in the first quarter. Price T Rowe Associates Inc. MD now owns 82,048,984 shares of the financial services provider's stock worth $6,422,795,000 after purchasing an additional 8,954,248 shares during the period. Finally, Nuveen LLC acquired a new stake in Charles Schwab in the first quarter worth $440,699,000. 84.38% of the stock is currently owned by institutional investors and hedge funds.

Insiders Place Their Bets

In related news, insider Paul V. Woolway sold 3,290 shares of the firm's stock in a transaction on 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 approximately $3,956,519.28. This trade represents a 7.40% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Chairman Walter W. Bettinger sold 173,876 shares of Charles Schwab stock in a transaction dated Tuesday, July 29th. The shares were sold at an average price of $98.84, for a total transaction of $17,185,903.84. Following the completion of the transaction, the chairman directly owned 590,734 shares of the company's stock, valued at approximately $58,388,148.56. This trade represents a 22.74% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 263,923 shares of company stock valued at $25,932,955 in the last quarter. Company insiders own 6.30% of the company's stock.

Analyst Ratings Changes

Several research firms have weighed in on SCHW. Zacks Research lowered shares of Charles Schwab from a "strong-buy" rating to a "hold" rating in a report on Wednesday, September 17th. Bank of America increased their price objective on shares of Charles Schwab from $83.00 to $84.00 and gave the stock an "underperform" rating in a research report on Monday, July 21st. Wells Fargo & Company set a $102.00 price objective on shares of Charles Schwab and gave the stock an "overweight" rating in a research report on Friday, July 18th. Deutsche Bank Aktiengesellschaft lowered their price objective on shares of Charles Schwab from $114.00 to $113.00 and set a "buy" rating for the company in a research report on Tuesday, September 16th. Finally, Truist Financial increased their price objective on shares of Charles Schwab from $107.00 to $112.00 and gave the stock a "buy" rating in a research report on Friday, August 15th. Sixteen analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $99.95.

Charles Schwab Stock Down 3.4%

Charles Schwab stock opened at $92.22 on Thursday. The company has a market cap of $167.39 billion, a P/E ratio of 24.79, a price-to-earnings-growth ratio of 0.94 and a beta of 0.97. The Charles Schwab Corporation has a 1-year low of $62.41 and a 1-year high of $99.59. The company has a fifty day simple moving average of $95.50 and a 200 day simple moving average of $88.36. The company has a current ratio of 0.55, a quick ratio of 0.55 and a debt-to-equity ratio of 0.47.

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

Charles Schwab declared that its Board of Directors has approved a share repurchase plan on Thursday, July 24th that permits the company to repurchase $20.00 billion in shares. This repurchase authorization permits the financial services provider to buy up to 11.6% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company's board of directors believes its stock is undervalued.

Charles Schwab Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, August 22nd. Investors of record on Friday, August 8th were given a $0.27 dividend. The ex-dividend date of this dividend was Friday, August 8th. This represents a $1.08 dividend on an annualized basis and a yield of 1.2%. Charles Schwab's dividend payout ratio (DPR) is 29.03%.

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.

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