Concentric Capital Strategies LP Buys Shares of 84,065 The Charles Schwab Corporation $SCHW

Key Points

• Concentric Capital Strategies LP has purchased 84,065 shares of The Charles Schwab Corporation, valued at approximately $6.58 million, making it the fund's 28th largest position.
• Other large investors, including Vanguard Group Inc. and Price T Rowe Associates Inc., have significantly increased their stakes in Charles Schwab, highlighting growing institutional interest in the stock.
• Charles Schwab announced a $20 billion stock buyback program and recently reported a quarterly earnings per share of $1.14, exceeding consensus estimates of $1.10.

Concentric Capital Strategies LP purchased a new position in shares of The Charles Schwab Corporation (NYSE:SCHW - Free Report) during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund purchased 84,065 shares of the financial services provider's stock, valued at approximately $6,581,000. Charles Schwab comprises about 0.6% of Concentric Capital Strategies LP's portfolio, making the stock its 28th largest position.

A number of other large investors have also modified their holdings of the business. Vanguard Group Inc. grew its stake in shares of Charles Schwab by 15.4% during 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 acquiring an additional 19,817,022 shares during the last quarter. Price T Rowe Associates Inc. MD grew its stake in shares of Charles Schwab by 12.3% during 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 acquiring an additional 8,954,248 shares during the last quarter. Northern Trust Corp grew its stake in shares of Charles Schwab by 10.8% during the first quarter. Northern Trust Corp now owns 17,440,301 shares of the financial services provider's stock worth $1,365,227,000 after acquiring an additional 1,700,384 shares during the last quarter. Alliancebernstein L.P. grew its stake in shares of Charles Schwab by 16.0% during the first quarter. Alliancebernstein L.P. now owns 17,115,759 shares of the financial services provider's stock worth $1,339,822,000 after acquiring an additional 2,355,309 shares during the last quarter. Finally, Invesco Ltd. lifted its holdings in shares of Charles Schwab by 5.0% during the first quarter. Invesco Ltd. now owns 15,586,450 shares of the financial services provider's stock worth $1,220,107,000 after purchasing an additional 743,906 shares during the period. Hedge funds and other institutional investors own 84.38% of the company's stock.

Charles Schwab Trading Down 0.1%

Shares of NYSE:SCHW opened at $96.06 on Thursday. The Charles Schwab Corporation has a 12-month low of $61.16 and a 12-month high of $99.59. The company has a market capitalization of $174.36 billion, a PE ratio of 25.82, a PEG ratio of 0.94 and a beta of 0.96. The business has a 50 day moving average of $94.99 and a two-hundred day moving average of $86.13. 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 announced its earnings results on Friday, July 18th. The financial services provider reported $1.14 earnings per share for the quarter, topping the consensus estimate 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 return on equity of 19.30% and a net margin of 33.68%.The business's quarterly revenue was up 24.8% on a year-over-year basis. During the same period in the prior year, the company posted $0.73 EPS. As a group, analysts forecast that The Charles Schwab Corporation will post 4.22 EPS for the current year.

Charles Schwab declared that its Board of Directors has authorized a stock buyback program on Thursday, July 24th that allows the company to buyback $20.00 billion in shares. This buyback authorization allows the financial services provider to repurchase up to 11.6% of its shares through open market purchases. Shares buyback programs 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. Stockholders of record on Friday, August 8th were paid a dividend of $0.27 per share. This represents a $1.08 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend was Friday, August 8th. Charles Schwab's dividend payout ratio is presently 29.03%.

Insider Buying and Selling at Charles Schwab

In other news, insider Paul V. Woolway sold 10,129 shares of the company's stock in a transaction that occurred on Wednesday, June 18th. The stock was sold at an average price of $90.01, for a total transaction of $911,711.29. Following the completion of the transaction, the insider directly owned 39,154 shares of the company's stock, valued at $3,524,251.54. This represents a 20.55% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, insider Jonathan S. Beatty sold 6,144 shares of the company's stock in a transaction that occurred on Thursday, August 28th. The stock was sold at an average price of $96.81, for a total value of $594,800.64. Following the transaction, the insider directly owned 11,923 shares of the company's stock, valued at approximately $1,154,265.63. The trade was a 34.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 298,214 shares of company stock worth $29,022,580. 6.30% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on SCHW shares. Citigroup lifted their target price on Charles Schwab from $105.00 to $110.00 and gave the stock a "buy" rating in a report on Monday, July 21st. Raymond James Financial reaffirmed an "outperform" rating and set a $99.00 target price on shares of Charles Schwab in a report on Friday, July 18th. Morgan Stanley lifted their target price on Charles Schwab from $117.00 to $131.00 and gave the stock an "overweight" rating in a report on Tuesday, July 29th. Bank of America lifted their target price on Charles Schwab from $83.00 to $84.00 and gave the stock an "underperform" rating in a report on Monday, July 21st. Finally, TD Securities boosted their price target on Charles Schwab from $95.00 to $113.00 and gave the company a "buy" rating in a report on Tuesday, May 20th. Sixteen analysts have rated the stock with a Buy rating, three have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $99.60.

About Charles Schwab

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.

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.