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
A number of equities analysts recently issued reports on the company. Piper Sandler cut their target price on Charles Schwab from $110.00 to $100.00 and set an "overweight" rating on the stock in a report on Friday, April 22nd. Morgan Stanley cut their target price on Charles Schwab from $98.00 to $93.00 and set an "overweight" rating on the stock in a report on Monday, August 1st. Compass Point upgraded Charles Schwab from a "neutral" rating to a "buy" rating and set a $98.00 target price on the stock in a report on Tuesday, April 12th. Deutsche Bank Aktiengesellschaft raised their price objective on Charles Schwab from $81.00 to $82.00 in a research note on Tuesday, July 19th. Finally, JPMorgan Chase & Co. dropped their price objective on Charles Schwab from $107.00 to $101.00 in a research note on Thursday, April 14th. Four research analysts have rated the stock with a hold rating and twelve have issued a buy rating to the stock. Based on data from MarketBeat, Charles Schwab currently has an average rating of "Moderate Buy" and a consensus target price of $91.75.
Charles Schwab Price Performance
SCHW Stock traded up $0.31 during mid-day trading on Friday, reaching $69.31. 4,870,943 shares of the company traded hands, compared to its average volume of 7,268,053. The company has a debt-to-equity ratio of 0.58, a current ratio of 0.44 and a quick ratio of 0.44. The company has a market capitalization of $125.94 billion, a P/E ratio of 22.80, a P/E/G ratio of 0.83 and a beta of 1.10. Charles Schwab has a 52-week low of $59.35 and a 52-week high of $96.24. The company has a fifty day moving average price of $64.47 and a 200-day moving average price of $74.77.
Charles Schwab (NYSE:SCHW - Get Rating) last posted its earnings results on Monday, July 18th. The financial services provider reported $0.97 earnings per share for the quarter, beating analysts' consensus estimates of $0.91 by $0.06. The business had revenue of $5.09 billion during the quarter, compared to analyst estimates of $5.04 billion. Charles Schwab had a return on equity of 15.86% and a net margin of 33.09%. The company's quarterly revenue was up 12.5% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.70 EPS. As a group, analysts anticipate that Charles Schwab will post 3.91 earnings per share for the current year.
Charles Schwab Increases Dividend
The company also recently announced a quarterly dividend, which will be paid on Friday, August 26th. Investors of record on Friday, August 12th will be given a $0.22 dividend. This is an increase from Charles Schwab's previous quarterly dividend of $0.20. The ex-dividend date of this dividend is Thursday, August 11th. This represents a $0.88 dividend on an annualized basis and a yield of 1.27%. Charles Schwab's payout ratio is presently 26.32%.
Insider Buying and Selling at Charles Schwab
In other Charles Schwab news, Chairman Charles R. Schwab sold 120,000 shares of the business's stock in a transaction that occurred on Wednesday, July 20th. The stock was sold at an average price of $62.70, for a total value of $7,524,000.00. Following the completion of the sale, the chairman now owns 71,083,305 shares in the company, valued at $4,456,923,223.50. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. In related news, Chairman Charles R. Schwab sold 120,000 shares of the company's stock in a transaction on Wednesday, July 20th. The stock was sold at an average price of $62.70, for a total value of $7,524,000.00. Following the sale, the chairman now directly owns 71,083,305 shares of the company's stock, valued at $4,456,923,223.50. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Chairman Charles R. Schwab sold 149,600 shares of the company's stock in a transaction on Thursday, July 28th. The stock was 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 in the company, valued at $4,558,809,672.80. The disclosure for this sale can be found here. Corporate insiders own 7.50% of the company's stock.
