Cresset Asset Management LLC Reduces Holdings in The Charles Schwab Corporation $SCHW

Key Points

• Cresset Asset Management LLC has reduced its stake in The Charles Schwab Corporation by 1.8%, selling 6,825 shares to hold a total of 377,974 shares valued at approximately $29.6 million.
• Insider transactions have seen significant sales, including Paul V. Woolway selling 10,129 shares and Nigel J. Murtagh selling 24,096 shares, leading to notable decreases in their ownership percentages.
• Charles Schwab announced a new $20 billion stock buyback plan, indicating confidence in the company's valuation while also releasing a quarterly dividend of $0.27 per share.

Cresset Asset Management LLC reduced its stake in shares of The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 1.8% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 377,974 shares of the financial services provider's stock after selling 6,825 shares during the quarter. Cresset Asset Management LLC's holdings in Charles Schwab were worth $29,588,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors have also added to or reduced their stakes in the company. Brighton Jones LLC grew its holdings in shares of Charles Schwab by 380.5% in the fourth quarter. Brighton Jones LLC now owns 24,240 shares of the financial services provider's stock valued at $1,794,000 after purchasing an additional 19,195 shares in the last quarter. CreativeOne Wealth LLC bought a new stake in Charles Schwab in the fourth quarter worth $411,000. Gabelli Funds LLC lifted its position in Charles Schwab by 0.3% in the fourth quarter. Gabelli Funds LLC now owns 61,237 shares of the financial services provider's stock worth $4,532,000 after buying an additional 162 shares during the last quarter. NewEdge Advisors LLC lifted its position in Charles Schwab by 5.5% in the fourth quarter. NewEdge Advisors LLC now owns 97,764 shares of the financial services provider's stock worth $7,235,000 after buying an additional 5,067 shares during the last quarter. Finally, Alpha DNA Investment Management LLC lifted its position in Charles Schwab by 119.3% in the fourth quarter. Alpha DNA Investment Management LLC now owns 40,274 shares of the financial services provider's stock worth $2,981,000 after buying an additional 21,906 shares during the last quarter. 84.38% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

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 transaction, the insider owned 58,999 shares in the company, valued at $5,776,592.09. The trade was a 29.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Paula A. Sneed sold 8,647 shares of Charles Schwab stock in a transaction dated 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 transaction, the director owned 105,654 shares in the company, valued at $9,303,891.24. This trade represents a 7.57% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 260,516 shares of company stock valued at $25,139,583. Company insiders own 6.30% of the company's stock.

Charles Schwab Stock Down 0.3%

Shares of Charles Schwab stock traded down $0.3220 during trading on Wednesday, hitting $95.4380. 6,693,481 shares of the stock traded hands, compared to its average volume of 10,003,838. The firm has a market cap of $173.24 billion, a P/E ratio of 25.66, a price-to-earnings-growth ratio of 0.92 and a beta of 0.96. The company has a current ratio of 0.55, a quick ratio of 0.55 and a debt-to-equity ratio of 0.47. The Charles Schwab Corporation has a 52-week low of $61.16 and a 52-week high of $99.59. The stock's fifty day simple moving average is $93.40 and its 200 day simple moving average is $85.09.

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

Charles Schwab declared that its board has initiated a stock repurchase plan on Thursday, July 24th that authorizes the company to repurchase $20.00 billion in outstanding shares. This repurchase authorization authorizes the financial services provider to buy up to 11.6% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's board of directors believes its shares are undervalued.

Charles Schwab Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, August 22nd. Stockholders of record on Friday, August 8th will be paid a dividend of $0.27 per share. The ex-dividend date is 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%.

Wall Street Analyst Weigh In

A number of analysts recently issued reports on the company. Morgan Stanley raised their price target on Charles Schwab from $117.00 to $131.00 and gave the stock an "overweight" rating in a research report on Tuesday, July 29th. Raymond James Financial restated an "outperform" rating and issued a $99.00 price target on shares of Charles Schwab in a research report on Friday, July 18th. 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 research report on Monday, July 21st. JMP Securities lifted their target price on Charles Schwab from $106.00 to $110.00 and gave the stock a "market outperform" rating in a research report on Monday, July 21st. Finally, The Goldman Sachs Group upgraded Charles Schwab from a "neutral" rating to a "buy" rating and set a $100.00 target price for the company in a research report on Friday, April 25th. 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, Charles Schwab currently has a consensus rating of "Moderate Buy" and an average price target of $99.60.

Charles Schwab 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.