Provident Investment Management Inc. Has $48.82 Million Stock Position in The Charles Schwab Corporation (NYSE:SCHW)

Key Points

• Provident Investment Management Inc. increased its stake in The Charles Schwab Corporation by 2.0%, owning 623,607 shares worth approximately $48.82 million, making Schwab its 10th largest holding.
• Research analysts have issued a range of ratings, with a total of 16 buy ratings and an average target price of $99.35 for Charles Schwab's stock, which is considered a "Moderate Buy."
• The Charles Schwab Corporation announced a $20 billion stock buyback plan, indicating confidence in the company's valuation, alongside a quarterly dividend of $0.27 per share scheduled for distribution on August 22nd.

Provident Investment Management Inc. raised its stake in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 2.0% in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 623,607 shares of the financial services provider's stock after purchasing an additional 12,465 shares during the period. Charles Schwab accounts for 4.6% of Provident Investment Management Inc.'s holdings, making the stock its 10th biggest holding. Provident Investment Management Inc.'s holdings in Charles Schwab were worth $48,816,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Atwood & Palmer Inc. bought a new stake in Charles Schwab in the first quarter valued at $25,000. Westside Investment Management Inc. grew its holdings in shares of Charles Schwab by 75.0% during 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 last quarter. WFA Asset Management Corp acquired a new position in shares of Charles Schwab during the first quarter valued at about $33,000. Cornerstone Planning Group LLC grew its holdings in shares of Charles Schwab by 90.5% during the first quarter. Cornerstone Planning Group LLC now owns 463 shares of the financial services provider's stock valued at $36,000 after buying an additional 220 shares during the last quarter. Finally, Beacon Capital Management LLC grew its holdings in shares of Charles Schwab by 53.1% during the first quarter. Beacon Capital Management LLC now owns 487 shares of the financial services provider's stock valued at $38,000 after buying an additional 169 shares during the last quarter. 84.38% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on SCHW shares. Citigroup lifted their price objective on shares of Charles Schwab from $105.00 to $110.00 and gave the company a "buy" rating in a report on Monday, July 21st. Raymond James Financial restated an "outperform" rating and set a $99.00 price target on shares of Charles Schwab in a report on Friday, July 18th. UBS Group boosted their price target on shares of Charles Schwab from $95.00 to $96.00 and gave the stock a "buy" rating in a report on Tuesday, April 22nd. Keefe, Bruyette & Woods boosted their price target on shares of Charles Schwab from $102.00 to $108.00 and gave the stock an "outperform" rating in a report on Monday, July 21st. Finally, JPMorgan Chase & Co. boosted their price target on shares of Charles Schwab from $92.00 to $95.00 and gave the stock an "overweight" rating in a report on Monday, April 21st. Two analysts have rated the stock with a sell rating, four have assigned a hold rating and sixteen have issued a buy rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $99.35.

Charles Schwab Stock Performance

NYSE SCHW opened at $96.47 on Wednesday. The company's 50 day moving average is $91.64 and its 200-day moving average is $84.02. The Charles Schwab Corporation has a 12-month low of $61.16 and a 12-month high of $99.59. The company has a quick ratio of 0.53, a current ratio of 0.53 and a debt-to-equity ratio of 0.53. The firm has a market cap of $175.28 billion, a P/E ratio of 25.93, a price-to-earnings-growth ratio of 0.93 and a beta of 0.96.

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

Charles Schwab Dividend Announcement

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

Charles Schwab announced that its Board of Directors has authorized a stock buyback plan on Thursday, July 24th that permits the company to buyback $20.00 billion in shares. This buyback authorization permits the financial services provider to buy up to 11.6% of its shares through open market purchases. Shares buyback plans are generally a sign that the company's leadership believes its stock is undervalued.

Insider Transactions at Charles Schwab

In other news, General Counsel Peter J. Morgan III sold 10,176 shares of the company's stock in a transaction on Thursday, May 22nd. The shares were sold at an average price of $87.39, for a total value of $889,280.64. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Nigel J. Murtagh sold 24,096 shares of the company's stock in a transaction on Tuesday, July 29th. The shares were sold at an average price of $97.91, for a total transaction of $2,359,239.36. Following the completion of the sale, the insider directly owned 58,999 shares of the company's stock, valued at $5,776,592.09. This trade represents a 29.00% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 308,016 shares of company stock worth $29,341,433. Company insiders own 6.30% of the company's stock.

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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