Elgethun Capital Management Purchases 11,227 Shares of The Charles Schwab Corporation (NYSE:SCHW)

Key Points

• Elgethun Capital Management increased its stake in The Charles Schwab Corporation by 7.6%, purchasing an additional 11,227 shares, bringing its total holdings to 159,001 shares valued at approximately $12.4 million.
• Several institutional investors have also recently acquired or increased their positions in Charles Schwab, resulting in institutional ownership reaching 84.38% of the stock.
• The company declared a quarterly dividend of $0.27, reflecting a 1.1% yield, and announced a stock repurchase plan of $20 billion to buy back up to 11.6% of its shares.

Elgethun Capital Management boosted its position in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 7.6% in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 159,001 shares of the financial services provider's stock after purchasing an additional 11,227 shares during the period. Charles Schwab comprises 2.8% of Elgethun Capital Management's investment portfolio, making the stock its 10th biggest position. Elgethun Capital Management's holdings in Charles Schwab were worth $12,447,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently bought and sold shares of the company. Atwood & Palmer Inc. acquired a new position in shares of Charles Schwab during the 1st quarter worth $25,000. Westside Investment Management Inc. increased its holdings 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 acquired a new position in Charles Schwab during the first quarter worth about $33,000. Cornerstone Planning Group LLC lifted its holdings in shares of Charles Schwab by 90.5% in the first quarter. Cornerstone Planning Group LLC now owns 463 shares of the financial services provider's stock valued at $36,000 after purchasing an additional 220 shares in the last quarter. Finally, Beacon Capital Management LLC grew its position in shares of Charles Schwab by 53.1% in the first quarter. Beacon Capital Management LLC now owns 487 shares of the financial services provider's stock valued at $38,000 after purchasing an additional 169 shares during the last quarter. 84.38% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of equities research analysts recently issued reports on the company. Redburn Atlantic raised Charles Schwab from a "sell" rating to a "neutral" rating and upped their target price for the company from $65.00 to $82.00 in a research note on Monday, June 9th. JMP Securities upped their price objective on Charles Schwab from $106.00 to $110.00 and gave the company a "market outperform" rating in a research report 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. Citigroup boosted their target price on shares of Charles Schwab from $105.00 to $110.00 and gave the company a "buy" rating in a research note on Monday, July 21st. Finally, Cowen restated a "buy" rating on shares of Charles Schwab in a report on Tuesday, May 20th. Two equities research analysts have rated the stock with a sell rating, four have given a hold rating and sixteen have given a buy rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $99.35.

Insider Transactions at Charles Schwab

In other Charles Schwab news, insider Paul V. Woolway sold 3,290 shares of the business's stock in a transaction dated Friday, August 1st. The stock was sold at an average price of $96.06, for a total transaction of $316,037.40. Following the transaction, the insider owned 41,188 shares in the company, valued at $3,956,519.28. The trade was a 7.40% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Chairman Walter W. Bettinger sold 173,876 shares of the stock in a transaction dated Tuesday, July 29th. The shares were sold at an average price of $98.84, for a total value of $17,185,903.84. Following the completion of the sale, the chairman owned 590,734 shares of the company's stock, valued at approximately $58,388,148.56. This trade represents a 22.74% decrease in their position. The disclosure for this sale can be found here. Insiders sold 308,016 shares of company stock worth $29,341,433 in the last quarter. 6.30% of the stock is owned by corporate insiders.

Charles Schwab Stock Performance

NYSE SCHW opened at $96.79 on Thursday. The company has a debt-to-equity ratio of 0.53, a current ratio of 0.53 and a quick ratio of 0.53. The Charles Schwab Corporation has a 1-year low of $61.16 and a 1-year high of $99.59. The firm has a market capitalization of $175.87 billion, a P/E ratio of 26.02, a P/E/G ratio of 0.92 and a beta of 0.96. The business's 50-day simple moving average is $91.81 and its 200-day simple moving average is $84.11.

Charles Schwab (NYSE:SCHW - Get Free Report) last announced its quarterly earnings results on Friday, July 18th. The financial services provider reported $1.14 earnings per share for the quarter, beating analysts' consensus estimates of $1.10 by $0.04. Charles Schwab had a net margin of 33.68% and a return on equity of 19.73%. The firm had revenue of $5.85 billion for the quarter, compared to analysts' expectations of $5.64 billion. During the same period in the previous year, the company posted $0.73 earnings per share. Charles Schwab's revenue was up 24.8% compared to the same quarter last year. Equities analysts predict that The Charles Schwab Corporation will post 4.22 EPS for the current year.

Charles Schwab Announces Dividend

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

Charles Schwab declared that its Board of Directors has authorized a stock repurchase 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 repurchase up to 11.6% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's management believes its shares are undervalued.

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.

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