Beck Bode LLC Lowers Stake in The Charles Schwab Corporation $SCHW

Key Points

• Beck Bode LLC decreased its holdings in The Charles Schwab Corporation by 3.0%, now owning 86,364 shares worth approximately $6.76 million.
• Charles Schwab recently announced a $20 billion share repurchase program, indicating management's belief that its shares are undervalued.
• The company reported an EPS of $1.14 for the last quarter, exceeding analysts' expectations, and showcased a revenue increase of 24.8% year-over-year.

Beck Bode LLC decreased its position in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 3.0% during the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 86,364 shares of the financial services provider's stock after selling 2,664 shares during the quarter. Charles Schwab makes up 1.3% of Beck Bode LLC's portfolio, making the stock its 27th biggest holding. Beck Bode LLC's holdings in Charles Schwab were worth $6,761,000 at the end of the most recent quarter.

Other institutional investors also recently bought and sold shares of the company. Sheaff Brock Investment Advisors LLC raised its holdings in Charles Schwab by 1.6% in the 1st quarter. Sheaff Brock Investment Advisors LLC now owns 7,986 shares of the financial services provider's stock worth $625,000 after purchasing an additional 129 shares during the period. HM Payson & Co. raised its holdings in Charles Schwab by 0.7% during the first quarter. HM Payson & Co. now owns 19,271 shares of the financial services provider's stock valued at $1,509,000 after acquiring an additional 130 shares during the period. Cornerstone Wealth Management LLC raised its holdings in Charles Schwab by 2.1% during the first quarter. Cornerstone Wealth Management LLC now owns 6,551 shares of the financial services provider's stock valued at $513,000 after acquiring an additional 132 shares during the period. Journey Strategic Wealth LLC raised its holdings in Charles Schwab by 3.1% during the first quarter. Journey Strategic Wealth LLC now owns 4,486 shares of the financial services provider's stock valued at $351,000 after acquiring an additional 135 shares during the period. Finally, Meridian Wealth Management LLC raised its holdings in Charles Schwab by 2.2% during the first quarter. Meridian Wealth Management LLC now owns 6,192 shares of the financial services provider's stock valued at $485,000 after acquiring an additional 136 shares during the period. Institutional investors own 84.38% of the company's stock.

Insider Buying and Selling

In other news, Chairman Walter W. Bettinger sold 173,876 shares of the company's stock in a transaction on Tuesday, July 29th. The stock was sold at an average price of $98.84, for a total transaction of $17,185,903.84. Following the transaction, 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 ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, 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 sale, the insider directly owned 11,923 shares in the company, valued at $1,154,265.63. This trade represents a 34.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 298,299 shares of company stock valued at $29,005,931 over the last ninety days. Company insiders own 6.30% of the company's stock.

Charles Schwab Trading Down 1.2%

Shares of NYSE:SCHW traded down $1.18 during trading hours on Friday, hitting $95.91. 8,829,399 shares of the company's stock traded hands, compared to its average volume of 7,885,997. The Charles Schwab Corporation has a 1 year low of $61.16 and a 1 year high of $99.59. The business has a fifty day moving average price of $94.58 and a 200-day moving average price of $85.83. The firm has a market capitalization of $174.10 billion, a P/E ratio of 25.78, a price-to-earnings-growth ratio of 0.94 and a beta of 0.96. The company has a debt-to-equity ratio of 0.47, a current ratio of 0.55 and a quick ratio of 0.55.

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, beating analysts' consensus estimates of $1.10 by $0.04. The firm had revenue of $5.85 billion during the quarter, compared to analyst estimates of $5.64 billion. Charles Schwab had a return on equity of 19.30% and a net margin of 33.68%.Charles Schwab's quarterly revenue was up 24.8% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.73 earnings per share. Equities analysts expect that The Charles Schwab Corporation will post 4.22 earnings per share for the current year.

Charles Schwab announced that its board has approved a stock repurchase plan on Thursday, July 24th that allows the company to repurchase $20.00 billion in outstanding shares. This repurchase authorization allows the financial services provider to repurchase up to 11.6% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company's board believes its shares are undervalued.

Charles Schwab Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 22nd. Investors of record on Friday, August 8th were paid a $0.27 dividend. The ex-dividend date of this dividend 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 29.03%.

Wall Street Analyst Weigh In

A number of research firms have commented on SCHW. Citigroup raised their price target on Charles Schwab from $105.00 to $110.00 and gave the company a "buy" rating in a report on Monday, July 21st. Piper Sandler raised their price target on Charles Schwab from $80.00 to $92.00 and gave the company a "neutral" rating in a report on Tuesday, July 15th. Morgan Stanley raised their price target on Charles Schwab from $117.00 to $131.00 and gave the company an "overweight" rating in a report on Tuesday, July 29th. Raymond James Financial reissued an "outperform" rating and set a $99.00 price target on shares of Charles Schwab in a report on Friday, July 18th. Finally, Bank of America raised their price target on Charles Schwab from $83.00 to $84.00 and gave the company an "underperform" rating in a report on Monday, July 21st. Sixteen analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, Charles Schwab has a consensus rating of "Moderate Buy" and an average target price of $99.60.

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.