The Charles Schwab Corporation $SCHW Shares Sold by United Asset Strategies Inc.

Key Points

• United Asset Strategies reduced its Charles Schwab stake by 6.7% in the third quarter, selling 13,131 shares and retaining 183,297 shares valued at approximately $17.9 million. Institutional investors collectively own 84.38% of the company.
• Charles Schwab reported quarterly earnings of $1.69 per share, beating estimates of $1.66, while revenue rose 16.9% year over year to $7.17 billion. The company also declared a quarterly dividend of $0.32 per share, implying a 1.4% yield.
• Analysts maintain a generally positive view, with 18 Buy ratings, five Holds and one Sell rating, producing a “Moderate Buy” consensus and an average price target of $119.91. Recent insider selling and mixed price-target revisions remain potential sentiment headwinds.

United Asset Strategies Inc. decreased its stake in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 6.7% in the third quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 183,297 shares of the financial services provider's stock after selling 13,131 shares during the quarter. Charles Schwab makes up 1.2% of United Asset Strategies Inc.'s portfolio, making the stock its 21st biggest holding. United Asset Strategies Inc.'s holdings in Charles Schwab were worth $17,915,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors have also recently made changes to their positions in the stock. Compass Financial Management LLC purchased a new stake in Charles Schwab in the 2nd quarter worth approximately $27,000. Scarborough Advisors LLC bought a new stake in Charles Schwab during the 1st quarter worth approximately $29,000. Main Street Group LTD purchased a new position in Charles Schwab during the first quarter valued at approximately $33,000. Mascoma Wealth Management LLC lifted its holdings in Charles Schwab by 71.6% during the third quarter. Mascoma Wealth Management LLC now owns 374 shares of the financial services provider's stock valued at $37,000 after purchasing an additional 156 shares in the last quarter. Finally, J.Safra Asset Management Corp bought a new position in shares of Charles Schwab in the second quarter worth approximately $39,000. Institutional investors own 84.38% of the company's stock.

Charles Schwab Trading Up 0.8%

Charles Schwab stock opened at $89.46 on Friday. The Charles Schwab Corporation has a 1 year low of $83.96 and a 1 year high of $114.53. The firm's 50 day moving average price is $100.95 and its 200-day moving average price is $97.74. The company has a debt-to-equity ratio of 0.52, a current ratio of 0.64 and a quick ratio of 0.64. The stock has a market cap of $154.71 billion, a P/E ratio of 15.27, a PEG ratio of 0.79 and a beta of 0.79.

Charles Schwab (NYSE:SCHW - Get Free Report) last posted its earnings results on Thursday, October 15th. The financial services provider reported $1.69 earnings per share for the quarter, beating the consensus estimate of $1.66 by $0.03. The company had revenue of $7.17 billion during the quarter, compared to analysts' expectations of $7.18 billion. Charles Schwab had a net margin of 39.33% and a return on equity of 25.79%. Charles Schwab's quarterly revenue was up 16.9% on a year-over-year basis. During the same period last year, the company posted $1.31 earnings per share. On average, equities analysts predict that The Charles Schwab Corporation will post 6.41 earnings per share for the current fiscal year.

Charles Schwab Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, November 27th. Stockholders of record on Friday, November 13th will be given a dividend of $0.32 per share. This represents a $1.28 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date is Friday, November 13th. Charles Schwab's dividend payout ratio is currently 21.84%.

Insider Activity

In related news, insider Nigel J. Murtagh sold 24,778 shares of the company's stock in a transaction on Monday, August 10th. The shares were sold at an average price of $109.01, for a total transaction of $2,701,049.78. Following the sale, the insider owned 57,972 shares of the company's stock, valued at $6,319,527.72. This represents a 29.94% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jonathan S. Beatty sold 1,000 shares of the stock in a transaction on Monday, August 17th. The shares were sold at an average price of $111.33, for a total transaction of $111,330.00. Following the transaction, the insider owned 10,738 shares of the company's stock, valued at $1,195,461.54. This trade represents a 8.52% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 285,734 shares of company stock worth $32,073,309. 6.30% of the stock is owned by corporate insiders.

Key Stories Impacting Charles Schwab

Here are the key news stories impacting Charles Schwab this week:

• Positive Sentiment: Schwab is accelerating its artificial-intelligence strategy, moving from experimentation toward practical applications for operations, financial planning and client engagement. The firm invested in AI startup Nevis and is integrating Anthropic’s Claude for Financial Advisors into Schwab Advisor Center, potentially strengthening advisor retention and platform usage. Charles Schwab Invests in AI Start-Up Nevis
• Positive Sentiment: Management plans to expand bank-like capabilities for registered investment advisors and continue supporting smaller RIA firms. This could help Schwab capture assets from wirehouse teams and deepen relationships with its more than 17,000 independent advisors. Schwab is also offering credits to encourage adoption of enterprise AI tools. Schwab to Push Bank Capabilities for RIAs
• Positive Sentiment: The asset-management division is considering additional exchange-traded funds focused on active fixed income and dividend strategies. A broader ETF lineup could support fee revenue and improve Schwab’s competitiveness in a growing product category. Charles Schwab Eyes ETF Expansion
• Neutral Sentiment: Schwab executives described economic data as stronger than public sentiment but warned that inflation could remain sticky because of tariffs and geopolitical risks. The backdrop is mixed for a brokerage whose results are sensitive to interest rates, trading activity and client cash balances. US Economy Grows Most in a Year
• Negative Sentiment: Evercore ISI lowered its price target for SCHW to $98 from $104, which may weigh on sentiment even though the revised target remains above the recent trading level. Evercore ISI Adjusts Price Target
• Negative Sentiment: Unusual options activity included roughly 26,195 SCHW put options, about 24% above average daily volume, suggesting increased hedging or bearish positioning. Schwab’s advice that investors reduce concentration in the AI trade also highlights market-risk concerns, although it is not a company-specific fundamental deterioration.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on SCHW. Rothschild & Co Redburn increased their price objective on shares of Charles Schwab from $114.00 to $120.00 and gave the stock a "neutral" rating in a research note on Monday, September 21st. Zacks Research cut shares of Charles Schwab from a "strong-buy" rating to a "hold" rating in a research note on Monday, September 14th. Raymond James Financial reaffirmed an "outperform" rating and issued a $145.00 target price (up from $137.00) on shares of Charles Schwab in a report on Thursday, October 15th. TD Cowen increased their price target on Charles Schwab from $128.00 to $129.00 and gave the stock a "buy" rating in a research note on Monday, October 12th. Finally, The Goldman Sachs Group reissued a "buy" rating and set a $117.00 price target (down from $122.00) on shares of Charles Schwab in a report on Friday, October 16th. Eighteen research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $119.91.

Charles Schwab Profile

The Charles Schwab Corporation NYSE: SCHW is a financial services company that provides investment, wealth management, banking and related services to individual investors, financial professionals and institutional clients. Through its brokerage business, Schwab offers trading and custody services for stocks, exchange-traded funds, mutual funds, options, fixed-income securities and other investments, along with retirement accounts and investment research tools.

The company also provides advisory and wealth management services, including managed portfolios, financial planning and support for registered investment advisors.

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