Townsquare Capital LLC Purchases 78,065 Shares of The Charles Schwab Corporation (NYSE:SCHW)

Key Points

• Townsquare Capital LLC increased its stake in The Charles Schwab Corporation by 126.1%, now owning 139,951 shares valued at approximately $10.96 million.
• Charles Schwab announced a quarterly dividend of $0.27 per share with an annualized yield of 1.1%, alongside a $20 billion stock repurchase program.
• The firm's latest quarterly earnings beat expectations, reporting $1.14 EPS and $5.85 billion in revenue, reflecting a significant 24.8% year-over-year increase.

Townsquare Capital LLC boosted its holdings in The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 126.1% in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 139,951 shares of the financial services provider's stock after purchasing an additional 78,065 shares during the quarter. Townsquare Capital LLC's holdings in Charles Schwab were worth $10,955,000 at the end of the most recent quarter.

Other hedge funds have also recently added to or reduced their stakes in the company. Sheaff Brock Investment Advisors LLC lifted its stake in Charles Schwab by 1.6% in the first quarter. Sheaff Brock Investment Advisors LLC now owns 7,986 shares of the financial services provider's stock valued at $625,000 after buying an additional 129 shares during the last quarter. HM Payson & Co. lifted its stake in Charles Schwab by 0.7% in the first quarter. HM Payson & Co. now owns 19,271 shares of the financial services provider's stock valued at $1,509,000 after buying an additional 130 shares during the last quarter. Cornerstone Wealth Management LLC lifted its stake in 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 valued at $513,000 after buying an additional 132 shares during the last quarter. Journey Strategic Wealth LLC lifted its stake in 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 valued at $351,000 after buying an additional 135 shares during the last quarter. Finally, Premier Path Wealth Partners LLC lifted its stake in 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 valued at $612,000 after buying an additional 140 shares during the last quarter. Institutional investors and hedge funds own 84.38% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on SCHW. Piper Sandler raised their target price on Charles Schwab from $80.00 to $92.00 and gave the company a "neutral" rating in a research note on Tuesday, July 15th. William Blair cut Charles Schwab from a "strong-buy" rating to a "hold" rating in a research note on Thursday, July 3rd. Morgan Stanley raised their target price on Charles Schwab from $117.00 to $131.00 and gave the company an "overweight" rating in a research note on Tuesday, July 29th. Truist Financial raised their target price on Charles Schwab from $100.00 to $107.00 and gave the company a "buy" rating in a research note on Monday, July 21st. Finally, Wells Fargo & Company set a $102.00 price objective on shares of Charles Schwab and gave the company an "overweight" rating in a research note on Friday, July 18th. Two investment analysts have rated the stock with a sell rating, four have issued a hold rating and sixteen have issued a buy rating to the company's stock. Based on data from MarketBeat, Charles Schwab currently has a consensus rating of "Moderate Buy" and an average price target of $99.35.

Insider Activity at Charles Schwab

In other Charles Schwab news, insider Jonathan M. Craig sold 47,500 shares of Charles Schwab stock in a transaction dated Wednesday, May 21st. The stock was sold at an average price of $88.46, for a total transaction of $4,201,850.00. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, insider Paul V. Woolway sold 10,129 shares of Charles Schwab stock in a transaction dated Wednesday, June 18th. The shares were sold at an average price of $90.01, for a total value of $911,711.29. Following the transaction, the insider directly owned 39,154 shares in the company, valued at approximately $3,524,251.54. This trade represents a 20.55% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 308,016 shares of company stock worth $29,341,433. Company insiders own 6.30% of the company's stock.

Charles Schwab Trading Up 1.1%

NYSE SCHW traded up $1.06 on Friday, hitting $97.05. 5,031,212 shares of the company were exchanged, compared to its average volume of 9,100,679. The company's 50 day moving average price is $92.15 and its 200-day moving average price is $84.40. 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 firm has a market capitalization of $176.34 billion, a P/E ratio of 26.09, a price-to-earnings-growth ratio of 0.93 and a beta of 0.96. The Charles Schwab Corporation has a twelve month low of $61.16 and a twelve month high of $99.59.

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

Charles Schwab Dividend Announcement

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

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

Charles Schwab Company 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.