The Charles Schwab Corporation $SCHW Stock Holdings Raised by Dynamic Advisor Solutions LLC

Key Points

• Dynamic Advisor Solutions LLC increased its stake in The Charles Schwab Corporation by 45.6%, now owning nearly 19,000 shares valued at approximately $1.73 million.
• Charles Schwab's latest earnings report showed a 24.8% year-over-year revenue growth with earnings per share of $1.14, beating estimates by $0.04.
• The company announced a $20 billion share buyback program, indicating management's belief that the stock is undervalued.

Dynamic Advisor Solutions LLC raised its position in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 45.6% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 18,983 shares of the financial services provider's stock after purchasing an additional 5,946 shares during the quarter. Dynamic Advisor Solutions LLC's holdings in Charles Schwab were worth $1,732,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of the company. Sheaff Brock Investment Advisors LLC increased its position in shares of Charles Schwab by 1.6% in the first quarter. Sheaff Brock Investment Advisors LLC now owns 7,986 shares of the financial services provider's stock valued at $625,000 after acquiring an additional 129 shares during the last quarter. HM Payson & Co. grew its holdings in Charles Schwab by 0.7% during the first quarter. HM Payson & Co. now owns 19,271 shares of the financial services provider's stock worth $1,509,000 after purchasing an additional 130 shares during the period. Cornerstone Wealth Management LLC boosted its holdings in shares of Charles Schwab by 2.1% during the first quarter. Cornerstone Wealth Management LLC now owns 6,551 shares of the financial services provider's stock worth $513,000 after acquiring an additional 132 shares during the period. Journey Strategic Wealth LLC boosted its holdings in shares of Charles Schwab by 3.1% during the first quarter. Journey Strategic Wealth LLC now owns 4,486 shares of the financial services provider's stock worth $351,000 after acquiring an additional 135 shares during the period. Finally, Meridian Wealth Management LLC boosted its holdings in shares of Charles Schwab by 2.2% during the first quarter. Meridian Wealth Management LLC now owns 6,192 shares of the financial services provider's stock worth $485,000 after acquiring an additional 136 shares during the period. Institutional investors and hedge funds own 84.38% of the company's stock.

Charles Schwab Stock Performance

SCHW traded up $0.99 during trading on Friday, hitting $94.27. The company's stock had a trading volume of 14,854,005 shares, compared to its average volume of 9,421,421. The company has a quick ratio of 0.55, a current ratio of 0.55 and a debt-to-equity ratio of 0.47. The Charles Schwab Corporation has a one year low of $62.41 and a one year high of $99.59. The firm has a market cap of $171.12 billion, a PE ratio of 25.34, a P/E/G ratio of 0.92 and a beta of 0.96. The business's 50 day simple moving average is $95.42 and its 200-day simple moving average is $87.26.

Charles Schwab (NYSE:SCHW - Get Free Report) last announced its quarterly earnings data 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 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 company's revenue was up 24.8% on a year-over-year basis. During the same period last year, the firm earned $0.73 EPS. As a group, sell-side analysts predict that The Charles Schwab Corporation will post 4.22 EPS for the current fiscal year.

Charles Schwab Dividend Announcement

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

Charles Schwab announced that its Board of Directors has initiated a share buyback 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 usually a sign that the company's management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on SCHW. Citigroup boosted their price target on Charles Schwab from $105.00 to $110.00 and gave the company a "buy" rating in a research note on Monday, July 21st. Barclays boosted their price target on Charles Schwab from $106.00 to $113.00 and gave the stock an "overweight" rating in a report on Friday, July 18th. Piper Sandler raised 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. Wells Fargo & Company set a $102.00 target price on Charles Schwab and gave the company an "overweight" rating in a research report on Friday, July 18th. Finally, JMP Securities raised 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. Sixteen equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $100.00.

Insiders Place Their Bets

In related news, Chairman Walter W. Bettinger sold 173,876 shares of the business's stock in a transaction that occurred on 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 owned 590,734 shares in the company, valued at $58,388,148.56. The trade was a 22.74% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Paul V. Woolway sold 3,205 shares of the company's stock in a transaction that occurred on Tuesday, September 2nd. The shares were sold at an average price of $95.20, for a total transaction of $305,116.00. Following the transaction, the insider owned 37,983 shares in the company, valued at $3,615,981.60. The trade was a 7.78% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 267,213 shares of company stock worth $26,232,180. 6.30% of the stock is owned by corporate insiders.

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.