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.
Charles Schwab Stock Up 0.4 %
Charles Schwab stock opened at $75.75 on Friday. Charles Schwab has a twelve month low of $59.35 and a twelve month high of $96.24. The stock has a 50 day moving average of $65.30 and a two-hundred day moving average of $73.87. 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 $137.70 billion, a price-to-earnings ratio of 24.92, a PEG ratio of 0.93 and a beta of 1.10.
Charles Schwab (NYSE:SCHW - Get Rating) last posted its quarterly earnings data on Monday, July 18th. The financial services provider reported $0.97 earnings per share for the quarter, topping analysts' consensus estimates of $0.91 by $0.06. Charles Schwab had a return on equity of 16.82% and a net margin of 33.09%. The company had revenue of $5.09 billion during the quarter, compared to analysts' expectations of $5.04 billion. During the same period last year, the firm earned $0.70 EPS. The firm's revenue for the quarter was up 12.5% on a year-over-year basis. As a group, research analysts expect that Charles Schwab will post 3.92 earnings per share for the current year.
Charles Schwab Increases Dividend
The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 26th. Shareholders of record on Friday, August 12th will be given a dividend of $0.22 per share. This represents a $0.88 dividend on an annualized basis and a yield of 1.16%. This is a boost 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 presently 28.95%.
Wall Street Analysts Forecast Growth
A number of research analysts have recently commented on the company. Morgan Stanley dropped their price objective on Charles Schwab from $98.00 to $93.00 and set an "overweight" rating on the stock in a report on Monday, August 1st. Redburn Partners assumed coverage on Charles Schwab in a report on Thursday, June 23rd. They issued a "neutral" rating on the stock. StockNews.com upgraded Charles Schwab from a "sell" rating to a "hold" rating in a report on Thursday, May 12th. Citigroup increased their price objective on Charles Schwab from $87.50 to $90.00 and gave the company a "buy" rating in a report on Friday, April 22nd. Finally, Jefferies Financial Group dropped their price objective on Charles Schwab to $95.00 in a report on Friday, April 22nd. Four investment analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company's stock. Based on data from MarketBeat.com, Charles Schwab currently has a consensus rating of "Moderate Buy" and a consensus target price of $92.42.
Insiders Place Their Bets
In other Charles Schwab news, Chairman Charles R. Schwab sold 149,600 shares of the stock in a transaction that occurred on Thursday, July 28th. The stock was sold at an average price of $65.36, for a total transaction of $9,777,856.00. Following the completion of the sale, the chairman now directly owns 69,749,230 shares of the company's stock, valued at approximately $4,558,809,672.80. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other news, insider Jonathan M. Craig sold 8,032 shares of the firm's stock in a transaction that occurred on Friday, August 12th. The stock was sold at an average price of $75.00, for a total value of $602,400.00. Following the completion of the sale, the insider now directly owns 4,019 shares of the company's stock, valued at approximately $301,425. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Chairman Charles R. Schwab sold 149,600 shares of the firm's stock in a transaction that occurred on Thursday, July 28th. The shares were sold at an average price of $65.36, for a total value of $9,777,856.00. Following the completion of the sale, the chairman now directly owns 69,749,230 shares of the company's stock, valued at $4,558,809,672.80. The disclosure for this sale can be found here. In the last ninety days, insiders sold 277,632 shares of company stock valued at $17,904,256. 7.50% of the stock is owned by company insiders.
