Insider Selling: Charles Schwab (NYSE:SCHW) Chairman Sells $7,038,334.50 in Stock

The Charles Schwab Corporation (NYSE:SCHW) Chairman Walter Bettinger sold 67,514 shares of Charles Schwab stock in a transaction on Friday, February 6th. The shares were sold at an average price of $104.25, for a total transaction of $7,038,334.50. Following the completion of the sale, the chairman directly owned 529,346 shares of the company’s stock, valued at approximately $55,184,320.50. This trade represents a 11.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink.

Charles Schwab Price Performance

SCHW stock opened at $95.08 on Friday. The company has a debt-to-equity ratio of 0.47, a current ratio of 0.58 and a quick ratio of 0.58. The company’s 50-day moving average is $100.73 and its 200-day moving average is $96.71. The stock has a market capitalization of $168.95 billion, a PE ratio of 20.40, a price-to-earnings-growth ratio of 0.77 and a beta of 0.94. The Charles Schwab Corporation has a 1 year low of $65.88 and a 1 year high of $107.50.

Charles Schwab (NYSE:SCHW) last announced its quarterly earnings results on Wednesday, January 21st. The financial services provider reported $1.39 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.32 by $0.07. The business had revenue of $6.34 billion for the quarter, compared to analyst estimates of $6.19 billion. Charles Schwab had a return on equity of 22.07% and a net margin of 37.01%.The company’s quarterly revenue was up 18.9% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.01 earnings per share. Charles Schwab has set its FY 2026 guidance at 5.700-5.800 EPS. Equities research analysts expect that The Charles Schwab Corporation will post 4.22 EPS for the current fiscal year.

Charles Schwab Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, February 27th. Shareholders of record on Friday, February 13th will be paid a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a dividend yield of 1.3%. This is a positive change from Charles Schwab’s previous quarterly dividend of $0.27. The ex-dividend date of this dividend is Friday, February 13th. Charles Schwab’s payout ratio is 23.18%.

Wall Street Analyst Weigh In

Several brokerages recently weighed in on SCHW. Citigroup reaffirmed a “market outperform” rating on shares of Charles Schwab in a research report on Monday, January 12th. UBS Group raised their target price on Charles Schwab from $123.00 to $125.00 and gave the company a “buy” rating in a report on Thursday, January 22nd. Raymond James Financial reiterated an “outperform” rating and set a $114.00 price target on shares of Charles Schwab in a report on Monday, January 5th. TD Cowen raised their price objective on Charles Schwab from $135.00 to $138.00 and gave the company a “buy” rating in a research note on Thursday, January 22nd. Finally, Morgan Stanley lifted their price objective on shares of Charles Schwab from $139.00 to $148.00 and gave the stock an “overweight” rating in a report on Monday, December 22nd. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, Charles Schwab presently has an average rating of “Moderate Buy” and an average target price of $115.65.

Key Headlines Impacting Charles Schwab

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

• Positive Sentiment: RIAs are increasing equity ownership and moving to performance‑based pay — a trend Schwab cites that can strengthen advisor loyalty to custodians and support recurring custody and platform revenue. Successful RIAs Upping Equity, Performance-Based Compensation, Schwab Says
• Positive Sentiment: Management pushing back: CEO Rick Wurster says Schwab is using AI and sees it as an aid to wealth managers rather than an existential threat — messaging intended to calm investors about disruption risk. Charles Schwab isn’t worried about AI. CEO Rick Wurster explains how it is using it now.
• Positive Sentiment: Investor optimism and fund flows have recently supported SCHW’s performance; discretionary buying and positive fund commentary are a stabilizing force after headline-driven volatility. Investors’ Optimism is Fueling The Charles Schwab Corporation’s (SCHW) Performance
• Neutral Sentiment: Relative valuation / peer comparison pieces highlight SCHW vs. Robinhood debate — useful context for value investors but not an immediate catalyst. SCHW vs. HOOD: Which Stock Should Value Investors Buy Now?
• Negative Sentiment: Primary negative catalyst: multiple outlets flag a newly released AI tax/advice tool (notably from Altruist and others) that sparked sectorwide selling on fears it could automate planning, drive fee compression and lure clients away from traditional advisory platforms. AI Shockwave: SCHW, LPLA & Others Slide on Disruption Fear
• Negative Sentiment: Coverage explaining the Altruist tool’s impact—investors worry automated tax/wealth tools could reduce advisor billable hours or prompt pricing pressure across custodians and brokerages. Why Altruist’s New AI Tax Tool Spooked Investors in Schwab, LPL, Raymond James
• Negative Sentiment: Sector momentum: wealth‑management names broadly sold off amid trader flight to safety, amplifying Schwab’s decline through correlated selling and higher volume. US wealth manager stocks sink as traders flee next AI casualty
• Negative Sentiment: Insider selling: recent director and chairman share sales were reported (large, disclosed trades) — not uncommon but adds to negative optics during a headline‑driven pullback. Walter Bettinger Form 4 (SEC)
• Negative Sentiment: Reputational/legal note: an ex‑employee was found guilty of fraud/ID theft — a reputational headline that can weigh sentiment even if it’s operationally isolated. Ex-Schwab employee found guilty of fraud, ID theft

Hedge Funds Weigh In On Charles Schwab

A number of hedge funds and other institutional investors have recently made changes to their positions in SCHW. Norges Bank purchased a new position in Charles Schwab in the second quarter valued at about $1,889,858,000. Brown Advisory Inc. lifted its stake in Charles Schwab by 88.4% in the second quarter. Brown Advisory Inc. now owns 12,162,260 shares of the financial services provider’s stock valued at $1,109,687,000 after purchasing an additional 5,708,208 shares during the last quarter. Primecap Management Co. CA grew its holdings in Charles Schwab by 35.9% during the second quarter. Primecap Management Co. CA now owns 19,034,806 shares of the financial services provider’s stock valued at $1,736,736,000 after purchasing an additional 5,032,728 shares during the period. Bank of New York Mellon Corp grew its holdings in Charles Schwab by 28.3% during the second quarter. Bank of New York Mellon Corp now owns 14,182,132 shares of the financial services provider’s stock valued at $1,293,978,000 after purchasing an additional 3,125,179 shares during the period. Finally, Vanguard Group Inc. increased its position in Charles Schwab by 1.9% in the second quarter. Vanguard Group Inc. now owns 151,182,081 shares of the financial services provider’s stock worth $13,793,853,000 after buying an additional 2,786,829 shares during the last quarter. 84.38% of the stock is owned by hedge funds and other institutional investors.

Charles Schwab Company Profile

Charles Schwab Corporation (NYSE: SCHW) is a diversified financial services firm that provides brokerage, banking, wealth management and advisory services to individual investors, independent investment advisors and institutional clients. Its primary offerings include retail brokerage accounts, online trading platforms, Schwab-branded mutual funds and exchange-traded funds (ETFs), retirement plan services, custodial services for independent Registered Investment Advisors (RIAs), and banking products through Charles Schwab Bank.