Lecap Asset Management Ltd. Sells 7,119 Shares of The Charles Schwab Corporation $SCHW

Key Points

• Lecap Asset Management Ltd. has reduced its holdings in The Charles Schwab Corporation by 24.2%, selling 7,119 shares, leaving it with 22,312 shares valued at approximately $2.036 million.
• Barclays and Truist Financial have recently increased their target prices for Charles Schwab, indicating positive sentiment among analysts, with current average targets around $99.95.
• Charles Schwab announced a quarterly dividend of $0.27 per share and is implementing a stock buyback plan authorizing up to $20 billion in share repurchases.

Lecap Asset Management Ltd. decreased its position in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 24.2% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 22,312 shares of the financial services provider's stock after selling 7,119 shares during the quarter. Charles Schwab makes up approximately 0.7% of Lecap Asset Management Ltd.'s portfolio, making the stock its 26th largest position. Lecap Asset Management Ltd.'s holdings in Charles Schwab were worth $2,036,000 at the end of the most recent reporting period.

Several other institutional investors have also recently made changes to their positions in SCHW. Brighton Jones LLC grew its stake in shares of Charles Schwab by 380.5% in the 4th quarter. Brighton Jones LLC now owns 24,240 shares of the financial services provider's stock worth $1,794,000 after acquiring an additional 19,195 shares in the last quarter. AdvisorNet Financial Inc grew its stake in shares of Charles Schwab by 17.9% in the 1st quarter. AdvisorNet Financial Inc now owns 967 shares of the financial services provider's stock worth $76,000 after acquiring an additional 147 shares in the last quarter. NBC Securities Inc. grew its stake in shares of Charles Schwab by 109,827.3% in the 1st quarter. NBC Securities Inc. now owns 12,092 shares of the financial services provider's stock worth $946,000 after acquiring an additional 12,081 shares in the last quarter. LVW Advisors LLC bought a new stake in shares of Charles Schwab in the 1st quarter worth $209,000. Finally, Merit Financial Group LLC raised its stake in shares of Charles Schwab by 33.8% during the 1st quarter. Merit Financial Group LLC now owns 44,886 shares of the financial services provider's stock worth $3,514,000 after purchasing an additional 11,340 shares during the period. Institutional investors own 84.38% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on the company. Barclays lifted their target price on Charles Schwab from $106.00 to $113.00 and gave the stock an "overweight" rating in a research note on Friday, July 18th. Raymond James Financial reiterated an "outperform" rating and set a $99.00 target price on shares of Charles Schwab in a research note on Friday, July 18th. Zacks Research cut Charles Schwab from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, September 17th. Truist Financial lifted their target price on Charles Schwab from $107.00 to $112.00 and gave the stock a "buy" rating in a research note on Friday, August 15th. Finally, 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 note on Monday, July 21st. Sixteen analysts have rated the stock with a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $99.95.

Charles Schwab Trading Down 3.4%

Shares of Charles Schwab stock opened at $92.22 on Thursday. The Charles Schwab Corporation has a 52-week low of $62.41 and a 52-week high of $99.59. The stock's 50-day simple moving average is $95.50 and its 200 day simple moving average is $88.36. The stock has a market capitalization of $167.39 billion, a P/E ratio of 24.79, a P/E/G ratio of 0.94 and a beta of 0.97. The company has a debt-to-equity ratio of 0.47, a quick ratio of 0.55 and a current ratio of 0.55.

Charles Schwab (NYSE:SCHW - Get Free Report) last announced its quarterly earnings data on Friday, July 18th. The financial services provider reported $1.14 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.10 by $0.04. Charles Schwab had a return on equity of 19.30% and a net margin of 33.68%.The business 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 business posted $0.73 EPS. The firm's quarterly revenue was up 24.8% compared to the same quarter last year. As a group, research analysts anticipate that The Charles Schwab Corporation will post 4.22 EPS for the current year.

Charles Schwab Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 22nd. Stockholders of record on Friday, August 8th were issued a dividend of $0.27 per share. The ex-dividend date of this dividend was Friday, August 8th. This represents a $1.08 annualized dividend and a dividend yield of 1.2%. Charles Schwab's payout ratio is presently 29.03%.

Charles Schwab announced that its board has approved a stock repurchase plan 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 purchase up to 11.6% of its shares through open market purchases. Shares buyback plans are usually a sign that the company's board of directors believes its stock is undervalued.

Insider Activity at Charles Schwab

In other 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 completion of the transaction, the insider owned 41,188 shares of the company's stock, valued at approximately $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 Securities & Exchange Commission, which can be accessed through the SEC website. Also, Chairman Walter W. Bettinger sold 173,876 shares of the company's stock in a transaction that occurred on Tuesday, July 29th. The stock was 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 directly owned 590,734 shares of the company's stock, valued at approximately $58,388,148.56. This represents a 22.74% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 263,923 shares of company stock valued at $25,932,955 in the last ninety days. Insiders own 6.30% of the company's stock.

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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