The Charles Schwab Corporation, together with its subsidiaries, provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services. The company operates in two segments, Investor Services and Advisor Services. The Investor Services segment provides retail brokerage, investment advisory, banking and trust, retirement plan, and other corporate brokerage services; equity compensation plan sponsors full-service recordkeeping for stock plans, stock options, restricted stock, performance shares, and stock appreciation rights; and retail investor and mutual fund clearing services, as well as compliance solutions. The Advisor Services segment offers custodial, trading, banking, and support services; and retirement business and corporate brokerage retirement services. This segment provides brokerage accounts with equity and fixed income, margin lending, options, and futures and forex trading; cash management capabilities comprising third-party certificates of deposit; third-party and proprietary mutual funds; plus mutual fund trading and clearing services; and exchange-traded funds (ETFs), including proprietary and third-party ETFs. It also offers advice solutions, such as managed portfolios of proprietary and third-party mutual funds and ETFs, separately managed accounts, customized personal advice for tailored portfolios, and specialized planning and portfolio management. In addition, this segment provides banking products and services, including checking and savings accounts, first lien residential real estate mortgage loans, home equity lines of credit, and pledged asset lines; and trust services comprising trust custody services, personal trust reporting services, and administrative trustee services. As of December 31, 2021, the Company had approximately 400 domestic branch offices in 48 states and the District of Columbia, as well as locations in Puerto Rico, the United Kingdom, Hong Kong, and Singapore. The Charles Schwab Corporation was incorporated in 1971 and is headquartered in Westlake, Texas.
Wall Street Analysts Forecast Growth
Several brokerages recently commented on SCHW. Citigroup increased their price objective on shares of Charles Schwab from $87.50 to $90.00 and gave the company a "buy" rating in a research note on Friday, April 22nd. Redburn Partners began coverage on shares of Charles Schwab in a research note on Thursday, June 23rd. They set a "neutral" rating for the company. Jefferies Financial Group dropped their price target on shares of Charles Schwab to $95.00 in a research note on Friday, April 22nd. Piper Sandler dropped their price target on shares of Charles Schwab from $110.00 to $100.00 and set an "overweight" rating for the company in a research note on Friday, April 22nd. Finally, Deutsche Bank Aktiengesellschaft raised their price target on shares of Charles Schwab from $83.00 to $90.00 and gave the company a "buy" rating in a research note on Friday. Four analysts have rated the stock with a hold rating and twelve have given a buy rating to the company's stock. According to MarketBeat, Charles Schwab currently has an average rating of "Moderate Buy" and an average target price of $92.42.
Charles Schwab Trading Up 1.1 %
NYSE:SCHW opened at $75.86 on Tuesday. The company has a current ratio of 0.41, a quick ratio of 0.41 and a debt-to-equity ratio of 0.62. The stock has a market capitalization of $137.90 billion, a price-to-earnings ratio of 24.95, a PEG ratio of 0.90 and a beta of 1.10. The firm has a fifty day simple moving average of $64.68 and a two-hundred day simple moving average of $73.92. Charles Schwab has a 12 month low of $59.35 and a 12 month high of $96.24.
Charles Schwab (NYSE:SCHW - Get Rating) last posted its quarterly earnings results on Monday, July 18th. The financial services provider reported $0.97 EPS for the quarter, topping analysts' consensus estimates of $0.91 by $0.06. The business had revenue of $5.09 billion during the quarter, compared to analysts' expectations of $5.04 billion. Charles Schwab had a net margin of 33.09% and a return on equity of 16.82%. The business's quarterly revenue was up 12.5% on a year-over-year basis. During the same period last year, the company posted $0.70 earnings per share. Analysts expect that Charles Schwab will post 3.91 EPS for the current fiscal year.
Charles Schwab Increases Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, August 26th. Shareholders of record on Friday, August 12th will be paid a $0.22 dividend. This represents a $0.88 dividend on an annualized basis and a dividend yield of 1.16%. This is a positive change from Charles Schwab's previous quarterly dividend of $0.20. The ex-dividend date is Thursday, August 11th. Charles Schwab's dividend payout ratio (DPR) is 28.95%.
Insider Buying and Selling at Charles Schwab
In other Charles Schwab news, insider Jonathan M. Craig sold 8,032 shares of the firm's stock in a transaction on Friday, August 12th. The shares were sold at an average price of $75.00, for a total value of $602,400.00. Following the transaction, the insider now directly owns 4,019 shares of the company's stock, valued at $301,425. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. In related news, insider Jonathan M. Craig sold 8,032 shares of the firm's stock in a transaction dated Friday, August 12th. The shares were sold at an average price of $75.00, for a total transaction of $602,400.00. Following the transaction, the insider now directly owns 4,019 shares of the company's stock, valued at $301,425. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Chairman Charles R. Schwab sold 149,600 shares of the firm's stock in a transaction dated Thursday, July 28th. The shares were sold at an average price of $65.36, for a total transaction of $9,777,856.00. Following the transaction, the chairman now directly owns 69,749,230 shares in the company, valued at $4,558,809,672.80. The disclosure for this sale can be found here. Over the last three months, insiders have sold 277,632 shares of company stock valued at $17,904,256. Corporate insiders own 6.90% of the company's stock.
