SteelPeak Wealth LLC Reduces Stock Position in The Charles Schwab Corporation $SCHW

Key Points

• SteelPeak Wealth LLC significantly reduced its stake in The Charles Schwab Corporation by 96.3%, ending the second quarter with just 2,769 shares after selling 73,070 shares.
• Vanguard Group led a number of large investors in increasing their positions, boosting its stake in Charles Schwab by 15.4% to over 148 million shares valued at approximately $11.6 billion.
• Charles Schwab announced a quarterly dividend of $0.27 per share, reflecting an annual yield of 1.1%, and recently approved a stock repurchase program of $20 billion.

SteelPeak Wealth LLC decreased its position in shares of The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 96.3% during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 2,769 shares of the financial services provider's stock after selling 73,070 shares during the period. SteelPeak Wealth LLC's holdings in Charles Schwab were worth $253,000 at the end of the most recent reporting period.

A number of other large investors have also added to or reduced their stakes in the company. Vanguard Group Inc. raised its position in Charles Schwab by 15.4% during the first quarter. Vanguard Group Inc. now owns 148,395,252 shares of the financial services provider's stock valued at $11,616,380,000 after purchasing an additional 19,817,022 shares in the last quarter. Price T Rowe Associates Inc. MD raised its position in Charles Schwab by 12.3% during the first quarter. Price T Rowe Associates Inc. MD now owns 82,048,984 shares of the financial services provider's stock valued at $6,422,795,000 after purchasing an additional 8,954,248 shares in the last quarter. Northern Trust Corp raised its position in Charles Schwab by 10.8% during the first quarter. Northern Trust Corp now owns 17,440,301 shares of the financial services provider's stock valued at $1,365,227,000 after purchasing an additional 1,700,384 shares in the last quarter. Alliancebernstein L.P. raised its position in Charles Schwab by 16.0% during the first quarter. Alliancebernstein L.P. now owns 17,115,759 shares of the financial services provider's stock valued at $1,339,822,000 after purchasing an additional 2,355,309 shares in the last quarter. Finally, Invesco Ltd. raised its position in Charles Schwab by 5.0% during the first quarter. Invesco Ltd. now owns 15,586,450 shares of the financial services provider's stock valued at $1,220,107,000 after purchasing an additional 743,906 shares in the last quarter. Hedge funds and other institutional investors own 84.38% of the company's stock.

Charles Schwab Price Performance

Shares of NYSE SCHW opened at $94.01 on Friday. The Charles Schwab Corporation has a twelve month low of $65.88 and a twelve month high of $99.59. The firm has a market cap of $170.65 billion, a P/E ratio of 25.27, a PEG ratio of 0.91 and a beta of 0.97. The company has a 50 day moving average of $95.04 and a 200 day moving average of $88.99. The company has a quick ratio of 0.55, a current ratio of 0.55 and a debt-to-equity ratio of 0.47.

Charles Schwab (NYSE:SCHW - Get Free Report) last announced 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 business had revenue of $5.85 billion during 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 19.30%. The company's quarterly revenue was up 24.8% compared to the same quarter last year. During the same period in the previous year, the business earned $0.73 EPS. As a group, research analysts expect that The Charles Schwab Corporation will post 4.22 EPS for the current fiscal year.

Charles Schwab Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, August 22nd. Shareholders of record on Friday, August 8th were paid a dividend of $0.27 per share. The ex-dividend date was Friday, August 8th. This represents a $1.08 dividend on an annualized basis and a yield of 1.1%. Charles Schwab's payout ratio is currently 29.03%.

Charles Schwab announced that its board has approved a stock repurchase program on Thursday, July 24th that authorizes the company to repurchase $20.00 billion in shares. This repurchase authorization authorizes the financial services provider to repurchase up to 11.6% of its stock through open market purchases. Stock repurchase programs are often a sign that the company's board of directors believes its stock is undervalued.

Analysts Set New Price Targets

Several research analysts have recently commented on SCHW shares. Truist Financial set a $112.00 price objective on Charles Schwab in a report on Thursday, October 2nd. William Blair downgraded Charles Schwab from a "strong-buy" rating to a "hold" rating in a report on Thursday, July 3rd. BMO Capital Markets started coverage on Charles Schwab in a report on Friday, October 3rd. They issued an "outperform" rating and a $110.00 price objective on the stock. Bank of America lifted their price objective on Charles Schwab from $84.00 to $86.00 and gave the stock an "underperform" rating in a report on Thursday, October 2nd. Finally, Morgan Stanley decreased their price objective on Charles Schwab to $130.00 and set an "overweight" rating on the stock in a report on Wednesday, October 1st. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $100.57.

Insider Buying and Selling at Charles Schwab

In other Charles Schwab news, insider Jonathan S. Beatty sold 6,144 shares of the business's stock in a transaction on Thursday, August 28th. The shares were sold at an average price of $96.81, for a total transaction of $594,800.64. Following the completion of the sale, the insider directly owned 11,923 shares in the company, valued at approximately $1,154,265.63. The trade was a 34.01% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Nigel J. Murtagh sold 24,096 shares of the company's 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 completion of the sale, the insider owned 58,999 shares of the company's stock, 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. In the last 90 days, insiders sold 267,128 shares of company stock worth $26,232,077. 6.30% of the stock is owned by corporate 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.

Want to see what other hedge funds are holding SCHW? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for The Charles Schwab Corporation (NYSE:SCHW - Free Report).

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.