The Charles Schwab Corporation (NYSE:SCHW) Given Consensus Recommendation of “Moderate Buy” by Analysts

Shares of The Charles Schwab Corporation (NYSE:SCHW) have earned an average rating of “Moderate Buy” from the twenty-one research firms that are currently covering the company, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating, sixteen have issued a buy rating and one has issued a strong buy rating on the company. The average 12 month target price among brokers that have issued a report on the stock in the last year is $116.00.

Several research firms recently commented on SCHW. Jefferies Financial Group lowered their target price on Charles Schwab from $122.00 to $118.00 and set a “buy” rating on the stock in a research report on Monday, April 6th. Weiss Ratings upgraded Charles Schwab from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Monday, March 23rd. Keefe, Bruyette & Woods began coverage on Charles Schwab in a research report on Wednesday, April 8th. They issued an “outperform” rating and a $110.00 target price on the stock. Barclays raised their target price on Charles Schwab from $117.00 to $127.00 and gave the company an “overweight” rating in a research report on Friday, May 15th. Finally, Argus set a $108.00 target price on Charles Schwab in a research report on Monday, April 20th.

Insider Activity

In other news, Director Frank C. Herringer sold 2,520 shares of Charles Schwab stock in a transaction on Tuesday, April 28th. The stock was sold at an average price of $90.60, for a total transaction of $228,312.00. Following the transaction, the director directly owned 177,508 shares in the company, valued at approximately $16,082,224.80. This trade represents a 1.40% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Nigel J. Murtagh sold 41,297 shares of Charles Schwab stock in a transaction on Tuesday, April 14th. The shares were sold at an average price of $99.00, for a total value of $4,088,403.00. Following the transaction, the insider owned 57,972 shares in the company, valued at approximately $5,739,228. This trade represents a 41.60% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 59,700 shares of company stock worth $5,889,131. 6.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On Charles Schwab

Hedge funds have recently modified their holdings of the stock. Dogwood Wealth Management LLC grew its holdings in shares of Charles Schwab by 99.2% during the fourth quarter. Dogwood Wealth Management LLC now owns 247 shares of the financial services provider’s stock valued at $25,000 after buying an additional 123 shares in the last quarter. Piscataqua Savings Bank purchased a new position in shares of Charles Schwab during the fourth quarter valued at $26,000. GoalVest Advisory LLC purchased a new position in shares of Charles Schwab during the fourth quarter valued at $28,000. Beacon Financial Strategies CORP purchased a new position in shares of Charles Schwab during the fourth quarter valued at $29,000. Finally, Scarborough Advisors LLC purchased a new position in shares of Charles Schwab during the first quarter valued at $29,000. 84.38% of the stock is currently owned by institutional investors and hedge funds.

Key Charles Schwab News

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

• Positive Sentiment: Schwab reported monthly activity highlights for May, and the company said the month set records, reinforcing confidence in client growth and trading momentum. Schwab Reports Monthly Activity Highlights
• Positive Sentiment: Market commentary says the stock is also getting a lift from a broader rebound in financials and renewed investor focus on Schwab’s strong client and trading trends. Charles Schwab jumps as financials rebound and investors refocus on Schwab’s strong client/trading momentum
• Positive Sentiment: Recent analyst actions have been constructive, with firms raising earnings estimates and maintaining buy-style ratings, which supports the bullish setup for SCHW. Charles Schwab stock research page
• Neutral Sentiment: Schwab also announced the closure and liquidation of its Schwab Ariel Opportunities ETF, a fund-level action that appears unlikely to materially affect the parent company’s near-term stock performance. Schwab Asset Management Announces Closure and Liquidation of the Schwab Ariel Opportunities ETF (SAEF)
• Negative Sentiment: There is still some caution in the background from mixed institutional positioning and heavy insider selling over the past six months, which could limit upside if sentiment weakens. Charles Schwab jumps as financials rebound and investors refocus on Schwab’s strong client/trading momentum

Charles Schwab Stock Up 2.6%

SCHW opened at $91.04 on Friday. Charles Schwab has a 12 month low of $83.96 and a 12 month high of $107.50. The company has a debt-to-equity ratio of 0.48, a current ratio of 0.62 and a quick ratio of 0.62. The stock has a market cap of $158.32 billion, a P/E ratio of 18.06, a P/E/G ratio of 0.86 and a beta of 0.77. The stock’s 50 day moving average price is $91.05 and its 200 day moving average price is $95.25.

Charles Schwab (NYSE:SCHW) last posted its earnings results on Thursday, April 16th. The financial services provider reported $1.43 EPS for the quarter, beating the consensus estimate of $1.39 by $0.04. Charles Schwab had a return on equity of 23.05% and a net margin of 37.99%.The firm had revenue of $6.48 billion for the quarter, compared to analysts’ expectations of $6.39 billion. During the same period last year, the firm earned $1.04 EPS. The firm’s revenue was up 15.8% compared to the same quarter last year. Charles Schwab has set its FY 2026 guidance at 5.700-5.800 EPS. As a group, research analysts predict that Charles Schwab will post 6.13 earnings per share for the current year.

Charles Schwab Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, May 22nd. Stockholders of record on Friday, May 8th were given a dividend of $0.32 per share. The ex-dividend date was Friday, May 8th. This represents a $1.28 annualized dividend and a dividend yield of 1.4%. Charles Schwab’s dividend payout ratio (DPR) is 25.40%.

About Charles Schwab

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.