The Charles Schwab Corporation (NYSE:SCHW) Stock Holdings Boosted by US Bancorp DE

Key Points

• US Bancorp DE increased its stake in The Charles Schwab Corporation by 1.8%, owning about 0.14% of the company, valued at approximately $194 million.
• Charles Schwab reported a 24.8% increase in revenue year-over-year, reaching $5.85 billion, with earnings per share of $1.14 exceeding estimates.
• The company plans to utilize a $20 billion stock repurchase program, allowing for the buyback of up to 11.6% of its shares, indicating a belief in the stock's undervaluation.

US Bancorp DE raised its position in shares of The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 1.8% in the first quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 2,479,809 shares of the financial services provider's stock after purchasing an additional 44,395 shares during the quarter. US Bancorp DE owned about 0.14% of Charles Schwab worth $194,120,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Atwood & Palmer Inc. acquired a new stake in shares of Charles Schwab during the 1st quarter valued at $25,000. Westside Investment Management Inc. lifted its holdings 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 purchasing an additional 150 shares in the last quarter. WFA Asset Management Corp purchased a new stake in shares of Charles Schwab in the first quarter valued at $33,000. Cornerstone Planning Group LLC lifted its holdings in shares of Charles Schwab by 90.5% in the first quarter. Cornerstone Planning Group LLC now owns 463 shares of the financial services provider's stock valued at $36,000 after purchasing an additional 220 shares in the last quarter. Finally, Beacon Capital Management LLC lifted its holdings in shares of Charles Schwab by 53.1% in the first quarter. Beacon Capital Management LLC now owns 487 shares of the financial services provider's stock valued at $38,000 after purchasing an additional 169 shares in the last quarter. 84.38% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on SCHW. William Blair lowered Charles Schwab from a "strong-buy" rating to a "hold" rating in a report on Thursday, July 3rd. Wells Fargo & Company set a $102.00 target price on Charles Schwab and gave the company an "overweight" rating in a report on Friday, July 18th. Piper Sandler increased their price objective on Charles Schwab from $80.00 to $92.00 and gave the stock a "neutral" rating in a report on Tuesday, July 15th. TD Securities increased their target price on shares of Charles Schwab from $95.00 to $113.00 and gave the stock a "buy" rating in a research report on Tuesday, May 20th. Finally, Cowen reissued a "buy" rating on shares of Charles Schwab in a research report on Tuesday, May 20th. Two equities research analysts have rated the stock with a sell rating, four have issued a hold rating and sixteen have issued a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $99.35.

Insider Transactions at Charles Schwab

In related news, General Counsel Peter J. Morgan III sold 10,176 shares of the business's stock in a transaction that occurred on Thursday, May 22nd. The shares were sold at an average price of $87.39, for a total value of $889,280.64. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Paul V. Woolway sold 10,129 shares of the business's stock in a transaction that occurred on Wednesday, June 18th. The stock was sold at an average price of $90.01, for a total transaction of $911,711.29. Following the completion of the transaction, the insider owned 39,154 shares of the company's stock, valued at $3,524,251.54. This trade represents a 20.55% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 304,726 shares of company stock worth $29,025,396 over the last ninety days. 6.30% of the stock is currently owned by insiders.

Charles Schwab Stock Down 0.8%

Shares of SCHW opened at $97.80 on Friday. The company has a market capitalization of $177.70 billion, a P/E ratio of 26.29, a PEG ratio of 0.95 and a beta of 0.93. The company has a debt-to-equity ratio of 0.53, a current ratio of 0.53 and a quick ratio of 0.53. The Charles Schwab Corporation has a one year low of $61.15 and a one year high of $99.59. The business's 50 day simple moving average is $91.12 and its 200-day simple moving average is $83.50.

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

Charles Schwab Dividend Announcement

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

Charles Schwab announced that its Board of Directors has approved a stock repurchase plan on Thursday, July 24th that allows the company to buyback $20.00 billion in shares. This buyback authorization allows the financial services provider to reacquire up to 11.6% of its stock through open market purchases. Stock buyback plans are generally a sign that the company's board 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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