Coronation Fund Managers Ltd. Has $43.90 Million Stake in The Charles Schwab Corporation (NYSE:SCHW)

Key Points

• Coronation Fund Managers Ltd. increased its stake in The Charles Schwab Corporation by 10.6%, owning approximately $43.90 million in shares after acquiring an additional 53,673 shares during the 1st quarter.
• Charles Schwab recently reported earnings of $1.14 per share for the quarter, exceeding analyst expectations of $1.10, with revenues growing by 24.8% year-over-year.
• The company announced a quarterly dividend of $0.27 per share and has initiated a $20 billion share buyback program, suggesting confidence in its stock value.

Coronation Fund Managers Ltd. lifted its stake in shares of The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 10.6% in the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm owned 560,863 shares of the financial services provider's stock after buying an additional 53,673 shares during the quarter. Charles Schwab comprises approximately 2.4% of Coronation Fund Managers Ltd.'s investment portfolio, making the stock its 15th largest holding. Coronation Fund Managers Ltd.'s holdings in Charles Schwab were worth $43,904,000 as of its most recent SEC filing.

Other large investors also recently modified their holdings of the company. Atwood & Palmer Inc. bought a new position in Charles Schwab during the 1st quarter valued at $25,000. Westside Investment Management Inc. lifted its stake in Charles Schwab by 75.0% during the 1st quarter. Westside Investment Management Inc. now owns 350 shares of the financial services provider's stock valued at $27,000 after acquiring an additional 150 shares in the last quarter. WFA Asset Management Corp bought a new position in Charles Schwab during the 1st quarter valued at $33,000. Cornerstone Planning Group LLC lifted its stake in Charles Schwab by 90.5% during the 1st quarter. Cornerstone Planning Group LLC now owns 463 shares of the financial services provider's stock valued at $36,000 after acquiring an additional 220 shares in the last quarter. Finally, Beacon Capital Management LLC lifted its stake in Charles Schwab by 53.1% during the 1st quarter. Beacon Capital Management LLC now owns 487 shares of the financial services provider's stock valued at $38,000 after acquiring an additional 169 shares in the last quarter. 84.38% of the stock is currently owned by institutional investors.

Charles Schwab Stock Up 1.1%

Shares of NYSE SCHW opened at $97.05 on Friday. The Charles Schwab Corporation has a 12 month low of $61.16 and a 12 month high of $99.59. The company has a current ratio of 0.53, a quick ratio of 0.53 and a debt-to-equity ratio of 0.53. The firm has a market capitalization of $176.34 billion, a price-to-earnings ratio of 26.09, a PEG ratio of 0.93 and a beta of 0.96. The business has a 50-day moving average of $92.15 and a 200-day moving average of $84.38.

Charles Schwab (NYSE:SCHW - Get Free Report) last issued its quarterly earnings data on Friday, July 18th. The financial services provider reported $1.14 EPS for the quarter, topping the consensus estimate of $1.10 by $0.04. The company had revenue of $5.85 billion during the quarter, compared to analyst estimates of $5.64 billion. Charles Schwab had a return on equity of 19.73% and a net margin of 33.68%. Charles Schwab's revenue was up 24.8% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.73 earnings per share. Sell-side analysts expect that The Charles Schwab Corporation will post 4.22 earnings per share for the current fiscal year.

Charles Schwab Dividend Announcement

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

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

Analysts Set New Price Targets

Several equities analysts have weighed in on SCHW shares. Bank of America raised their price objective on Charles Schwab from $83.00 to $84.00 and gave the company an "underperform" rating in a research note on Monday, July 21st. Barclays lifted their target price on Charles Schwab from $106.00 to $113.00 and gave the stock an "overweight" rating in a research note on Friday, July 18th. Citigroup lifted their target price on Charles Schwab from $105.00 to $110.00 and gave the stock a "buy" rating in a research note on Monday, July 21st. Piper Sandler increased their price objective on Charles Schwab from $80.00 to $92.00 and gave the company a "neutral" rating in a report on Tuesday, July 15th. Finally, UBS Group increased their price objective on Charles Schwab from $95.00 to $96.00 and gave the company a "buy" rating in a report on Tuesday, April 22nd. Two analysts have rated the stock with a sell rating, four have issued a hold rating and sixteen have issued a buy rating to the stock. According to MarketBeat, Charles Schwab currently has a consensus rating of "Moderate Buy" and a consensus price target of $99.35.

Insiders Place Their Bets

In other Charles Schwab news, insider Jonathan S. Beatty sold 2,850 shares of the business's stock in a transaction that occurred on Friday, May 30th. The stock was sold at an average price of $87.57, for a total value of $249,574.50. Following the completion of the sale, the insider owned 15,219 shares in the company, valued at approximately $1,332,727.83. The trade was a 15.77% 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, Director Paula A. Sneed sold 8,647 shares of the business's stock in a transaction that occurred on Tuesday, May 27th. The shares were sold at an average price of $88.06, for a total value of $761,454.82. Following the completion of the sale, the director owned 105,654 shares of the company's stock, valued at $9,303,891.24. The trade was a 7.57% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 308,016 shares of company stock valued at $29,341,433 over the last 90 days. Company insiders own 6.30% of the company's stock.

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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