Skandinaviska Enskilda Banken AB publ Boosts Holdings in The Charles Schwab Corporation (NYSE:SCHW)

Key Points

• Skandinaviska Enskilda Banken AB increased its holdings in The Charles Schwab Corporation by 10.1%, owning 346,583 shares valued at <$27.1 million at the close of the latest quarter.
• Charles Schwab announced a quarterly dividend of $0.27 per share, representing an annualized yield of 1.11%, with a payout ratio of 29.03%.
• The company also initiated a $20 billion stock buyback plan, allowing repurchases of up to 11.6% of its outstanding shares, indicating a belief by the board in the under-valuation of Schwab's stock.

Skandinaviska Enskilda Banken AB publ grew its holdings in shares of The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 10.1% during the 1st quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 346,583 shares of the financial services provider's stock after acquiring an additional 31,800 shares during the quarter. Skandinaviska Enskilda Banken AB publ's holdings in Charles Schwab were worth $27,131,000 at the end of the most recent quarter.

Several other large investors have also recently made changes to their positions in the business. HM Payson & Co. increased its stake in shares of Charles Schwab by 0.7% in the first quarter. HM Payson & Co. now owns 19,271 shares of the financial services provider's stock worth $1,509,000 after buying an additional 130 shares during the period. Cornerstone Wealth Management LLC grew its stake in shares of Charles Schwab by 2.1% in the first quarter. Cornerstone Wealth Management LLC now owns 6,551 shares of the financial services provider's stock worth $513,000 after purchasing an additional 132 shares during the last quarter. Journey Strategic Wealth LLC grew its stake in shares of Charles Schwab by 3.1% in the first quarter. Journey Strategic Wealth LLC now owns 4,486 shares of the financial services provider's stock worth $351,000 after purchasing an additional 135 shares during the last quarter. Premier Path Wealth Partners LLC grew its stake in shares of Charles Schwab by 1.8% in the first quarter. Premier Path Wealth Partners LLC now owns 7,817 shares of the financial services provider's stock worth $612,000 after purchasing an additional 140 shares during the last quarter. Finally, Sutton Place Investors LLC grew its stake in shares of Charles Schwab by 1.6% in the first quarter. Sutton Place Investors LLC now owns 8,677 shares of the financial services provider's stock worth $679,000 after purchasing an additional 140 shares during the last quarter. 84.38% of the stock is owned by hedge funds and other institutional investors.

Charles Schwab Price Performance

SCHW stock opened at $97.05 on Friday. The firm has a market capitalization of $176.33 billion, a price-to-earnings ratio of 26.09, a PEG ratio of 0.93 and a beta of 0.93. The firm has a 50 day moving average price of $90.34 and a 200-day moving average price of $82.81. The Charles Schwab Corporation has a 52-week low of $61.15 and a 52-week high of $98.28. The company has a debt-to-equity ratio of 0.53, a quick ratio of 0.53 and a current ratio of 0.53.

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 (EPS) for the quarter, topping analysts' consensus estimates of $1.10 by $0.04. The company had revenue of $5.85 billion for the quarter, compared to analysts' expectations of $5.64 billion. Charles Schwab had a net margin of 33.68% and a return on equity of 19.73%. Charles Schwab's revenue was up 24.8% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.73 EPS. Equities research analysts forecast that The Charles Schwab Corporation will post 4.22 EPS for the current fiscal year.

Charles Schwab Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, August 22nd. Investors of record on Friday, August 8th will be paid a $0.27 dividend. This represents a $1.08 dividend on an annualized basis and a yield of 1.11%. The ex-dividend date is Friday, August 8th. Charles Schwab's payout ratio is 29.03%.

Charles Schwab declared that its board has initiated a stock buyback plan on Thursday, July 24th that authorizes the company to buyback $20.00 billion in outstanding shares. This buyback authorization authorizes the financial services provider to reacquire up to 11.6% of its stock through open market purchases. Stock buyback plans are often a sign that the company's board believes its shares are undervalued.

Analyst Ratings Changes

Several research firms recently issued reports on SCHW. William Blair cut Charles Schwab from a "strong-buy" rating to a "hold" rating in a research note on Thursday, July 3rd. Cowen reiterated a "buy" rating on shares of Charles Schwab in a report on Tuesday, May 20th. Redburn Atlantic upgraded shares of Charles Schwab from a "sell" rating to a "neutral" rating and lifted their price target for the company from $65.00 to $82.00 in a report on Monday, June 9th. Piper Sandler lifted their price target on shares of Charles Schwab from $80.00 to $92.00 and gave the company a "neutral" rating in a report on Tuesday, July 15th. Finally, Morgan Stanley reiterated an "overweight" rating and issued a $117.00 price target (up previously from $83.00) on shares of Charles Schwab in a report on Tuesday, July 15th. Two analysts have rated the stock with a sell rating, four have assigned a hold rating and sixteen have given a buy 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 $98.65.

Insider Buying and Selling

In other Charles Schwab news, General Counsel Peter J. Morgan III sold 10,176 shares of Charles Schwab stock in a transaction on Thursday, May 22nd. The stock was sold at an average price of $87.39, for a total value of $889,280.64. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Paul V. Woolway sold 10,129 shares of Charles Schwab stock in a transaction on Wednesday, June 18th. The stock was sold at an average price of $90.01, for a total value of $911,711.29. Following the completion of the sale, the insider directly owned 39,154 shares of the company's stock, valued at approximately $3,524,251.54. The trade was a 20.55% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 116,313 shares of company stock worth $10,264,091 over the last quarter. 6.30% of the stock is owned by insiders.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.