Korea Investment CORP Purchases 147,176 Shares of The Charles Schwab Corporation $SCHW

Key Points

• Korea Investment CORP increased its holdings in The Charles Schwab Corporation by 13% this quarter, now owning 1,283,191 shares valued at approximately $100.4 million.
• Several analysts have adjusted their price targets for SCHW, with Morgan Stanley raising their target from $117 to $131, indicating strong market confidence in the stock.
• Charles Schwab has announced a quarterly dividend of $0.27 per share and has a $20 billion share buyback program approved, suggesting management believes the stock is currently undervalued.

Korea Investment CORP raised its position in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 13.0% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 1,283,191 shares of the financial services provider's stock after purchasing an additional 147,176 shares during the quarter. Korea Investment CORP owned 0.07% of Charles Schwab worth $100,448,000 as of its most recent SEC filing.

Several other large investors have also recently bought and sold shares of SCHW. Atwood & Palmer Inc. acquired a new stake in shares of Charles Schwab in the first quarter valued at about $25,000. Westside Investment Management Inc. increased its stake in shares of Charles Schwab by 75.0% in the first quarter. Westside Investment Management Inc. now owns 350 shares of the financial services provider's stock valued at $27,000 after buying an additional 150 shares during the period. Stone House Investment Management LLC acquired a new stake in shares of Charles Schwab in the first quarter valued at about $31,000. WFA Asset Management Corp acquired a new stake in Charles Schwab during the first quarter worth approximately $33,000. Finally, Cornerstone Planning Group LLC grew its stake in Charles Schwab by 90.5% during the first quarter. Cornerstone Planning Group LLC now owns 463 shares of the financial services provider's stock worth $36,000 after purchasing an additional 220 shares during the period. 84.38% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

Several research firms recently commented on SCHW. Redburn Atlantic raised Charles Schwab from a "sell" rating to a "neutral" rating and raised their target price for the stock from $65.00 to $82.00 in a research note on Monday, June 9th. William Blair cut Charles Schwab from a "strong-buy" rating to a "hold" rating in a research note on Thursday, July 3rd. Keefe, Bruyette & Woods raised their target price on Charles Schwab from $102.00 to $108.00 and gave the stock an "outperform" rating in a research note on Monday, July 21st. Piper Sandler raised their target price on Charles Schwab from $80.00 to $92.00 and gave the stock a "neutral" rating in a research note on Tuesday, July 15th. Finally, Morgan Stanley raised their target price on Charles Schwab from $117.00 to $131.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 29th. Two research analysts have rated the stock with a sell rating, four have given a hold rating and sixteen have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $99.60.

Insider Buying and Selling at Charles Schwab

In related news, insider Paul V. Woolway sold 3,290 shares of Charles Schwab stock in a transaction on Friday, August 1st. The stock was sold at an average price of $96.06, for a total transaction of $316,037.40. Following the sale, the insider directly owned 41,188 shares in the company, valued at approximately $3,956,519.28. This trade represents a 7.40% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Nigel J. Murtagh sold 24,096 shares of Charles Schwab stock in a transaction on 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 sale, the insider owned 58,999 shares in the company, valued at $5,776,592.09. This trade represents a 29.00% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 308,016 shares of company stock valued at $29,341,433 in the last ninety days. 6.30% of the stock is owned by corporate insiders.

Charles Schwab Stock Down 1.8%

SCHW stock opened at $96.03 on Monday. The Charles Schwab Corporation has a twelve month low of $61.16 and a twelve month high of $99.59. 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 stock's 50 day moving average is $93.09 and its 200-day moving average is $84.92. The firm has a market capitalization of $174.32 billion, a PE ratio of 25.81, a P/E/G ratio of 0.92 and a beta of 0.96.

Charles Schwab (NYSE:SCHW - Get Free Report) last posted its 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. 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 company's revenue for the quarter was up 24.8% on a year-over-year basis. During the same quarter last year, the company earned $0.73 earnings per share. Sell-side analysts expect that The Charles Schwab Corporation will post 4.22 EPS for the current fiscal year.

Charles Schwab Announces Dividend

The firm 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 dividend of $0.27 per share. This represents a $1.08 dividend on an annualized basis and a yield of 1.1%. The ex-dividend date is Friday, August 8th. Charles Schwab's dividend payout ratio (DPR) is 29.03%.

Charles Schwab announced that its Board of Directors has approved a share buyback program on Thursday, July 24th that allows the company to buyback $20.00 billion in outstanding shares. This buyback authorization allows the financial services provider to repurchase up to 11.6% of its stock through open market purchases. Stock buyback programs are usually a sign that the company's management believes its stock is 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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