Destiny Wealth Partners LLC Takes Position in The Charles Schwab Corporation $SCHW

Key Points

• Destiny Wealth Partners LLC acquired a new stake in The Charles Schwab Corporation, purchasing 3,068 shares valued at approximately $280,000 in the second quarter of the year.
• Several institutional investors, including Vanguard Group Inc. and Wellington Management Group LLP, significantly increased their holdings in Charles Schwab, contributing to a high institutional ownership rate of 84.38%.
• Charles Schwab announced a $20 billion share buyback plan and recently declared a quarterly dividend of $0.27 per share, reflecting its strong financial position and confidence in stock valuation.

Destiny Wealth Partners LLC acquired a new stake in The Charles Schwab Corporation (NYSE:SCHW - Free Report) in the second quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund acquired 3,068 shares of the financial services provider's stock, valued at approximately $280,000.

A number of other institutional investors and hedge funds have also made changes to their positions in SCHW. Vanguard Group Inc. increased its position in shares of 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 valued at $11,616,380,000 after buying an additional 19,817,022 shares in the last quarter. Wellington Management Group LLP increased its position in shares of 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 valued at $1,212,461,000 after buying an additional 13,262,309 shares in the last quarter. Primecap Management Co. CA increased its position in shares of 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 valued at $1,096,083,000 after buying an additional 9,749,728 shares in the last quarter. Price T Rowe Associates Inc. MD increased its position in shares of 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 valued at $6,422,795,000 after buying an additional 8,954,248 shares in the last quarter. Finally, Nuveen LLC acquired a new stake in shares of Charles Schwab in the first quarter worth approximately $440,699,000. 84.38% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at Charles Schwab

In other Charles Schwab news, insider Jonathan S. Beatty sold 6,144 shares of Charles Schwab stock in a transaction 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 sale, the insider owned 11,923 shares in the company, valued at $1,154,265.63. The trade was a 34.01% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Nigel J. Murtagh sold 24,096 shares of Charles Schwab stock in a transaction on Tuesday, July 29th. The shares were sold at an average price of $97.91, for a total value of $2,359,239.36. Following the completion of the sale, the insider owned 58,999 shares in the company, valued at $5,776,592.09. This represents a 29.00% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 267,213 shares of company stock valued at $26,232,180 in the last three months. Company insiders own 6.30% of the company's stock.

Charles Schwab Stock Performance

NYSE SCHW opened at $94.75 on Friday. The stock's fifty day moving average is $95.55 and its two-hundred day moving average is $87.79. The firm has a market capitalization of $171.99 billion, a P/E ratio of 25.47, a price-to-earnings-growth ratio of 0.91 and a beta of 0.96. The company has a debt-to-equity ratio of 0.47, a quick ratio of 0.55 and a current ratio of 0.55. The Charles Schwab Corporation has a fifty-two week low of $62.41 and a fifty-two week high of $99.59.

Charles Schwab (NYSE:SCHW - Get Free Report) last released its quarterly earnings data on Friday, July 18th. The financial services provider reported $1.14 earnings per share for the quarter, topping analysts' consensus estimates of $1.10 by $0.04. The company 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 firm's revenue for the quarter was up 24.8% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.73 earnings per share. On average, research analysts anticipate that The Charles Schwab Corporation will post 4.22 earnings per share for the current year.

Charles Schwab announced that its board has approved a share buyback plan on Thursday, July 24th that allows the company to repurchase $20.00 billion in outstanding shares. This repurchase authorization allows 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 leadership believes its shares are undervalued.

Charles Schwab Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 22nd. Shareholders of record on Friday, August 8th were paid a dividend of $0.27 per share. 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 1.1%. Charles Schwab's payout ratio is 29.03%.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on SCHW shares. Piper Sandler lifted their price target on Charles Schwab from $80.00 to $92.00 and gave the stock a "neutral" rating in a research note on Tuesday, July 15th. Bank of America lifted 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. William Blair lowered Charles Schwab from a "strong-buy" rating to a "hold" rating in a research note on Thursday, July 3rd. JMP Securities lifted their price target on Charles Schwab from $106.00 to $110.00 and gave the stock a "market outperform" rating in a research note on Monday, July 21st. Finally, Morgan Stanley lifted their price target on Charles Schwab from $117.00 to $131.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 29th. Sixteen equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, Charles Schwab presently has an average rating of "Moderate Buy" and an average target price of $100.00.

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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