Brokerages Set The Charles Schwab Corporation (NYSE:SCHW) Price Target at $120.78

The Charles Schwab Corporation (NYSE:SCHW) has earned an average recommendation of “Moderate Buy” from the twenty-one analysts that are currently covering the company, Marketbeat Ratings reports. One research analyst has rated the stock with a sell rating, two have issued a hold rating, sixteen have issued a buy rating and two have issued a strong buy rating on the company. The average 1-year target price among brokerages that have updated their coverage on the stock in the last year is $121.1667.

Several brokerages have commented on SCHW. Zacks Research raised Charles Schwab from a “hold” rating to a “strong-buy” rating in a report on Thursday, July 9th. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating on shares of Charles Schwab in a research report on Wednesday, July 22nd. Morgan Stanley boosted their price target on shares of Charles Schwab from $133.00 to $136.00 and gave the stock an “overweight” rating in a report on Monday, July 27th. Keefe, Bruyette & Woods assumed coverage on shares of Charles Schwab in a report on Wednesday, April 8th. They set an “outperform” rating and a $110.00 price objective on the stock. Finally, Raymond James Financial reiterated an “outperform” rating and issued a $145.00 target price on shares of Charles Schwab in a research report on Wednesday, July 22nd.

Insider Buying and Selling

In other news, Chairman Walter W. Bettinger sold 93,408 shares of the firm’s stock in a transaction that occurred on Tuesday, July 28th. The stock was sold at an average price of $104.64, for a total value of $9,774,213.12. Following the transaction, the chairman owned 529,346 shares in the company, valued at $55,390,765.44. This trade represents a 15.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Dennis Howard sold 28,000 shares of Charles Schwab stock in a transaction that occurred on Tuesday, July 28th. The stock was sold at an average price of $105.01, for a total value of $2,940,280.00. Following the completion of the sale, the insider directly owned 10,470 shares in the company, valued at $1,099,454.70. This represents a 72.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 363,848 shares of company stock worth $37,874,706 in the last quarter. 6.30% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in SCHW. Next Capital Management LLC purchased a new stake in shares of Charles Schwab during the second quarter worth $1,506,000. Trust Asset Management LLC raised its position in shares of Charles Schwab by 9.5% in the second quarter. Trust Asset Management LLC now owns 18,377 shares of the financial services provider’s stock valued at $1,696,000 after buying an additional 1,596 shares during the last quarter. Whitener Capital Management Inc. lifted its stake in shares of Charles Schwab by 17.0% in the second quarter. Whitener Capital Management Inc. now owns 24,877 shares of the financial services provider’s stock worth $2,295,000 after buying an additional 3,608 shares in the last quarter. Tema ETFs LLC lifted its stake in shares of Charles Schwab by 10.6% in the second quarter. Tema ETFs LLC now owns 31,695 shares of the financial services provider’s stock worth $2,924,000 after buying an additional 3,045 shares in the last quarter. Finally, Lederer & Associates Investment Counsel CA acquired a new position in Charles Schwab during the second quarter worth about $1,624,000. Hedge funds and other institutional investors own 84.38% of the company’s stock.

Charles Schwab Trading Up 1.6%

SCHW stock opened at $108.05 on Monday. The company’s 50-day simple moving average is $96.43 and its 200-day simple moving average is $95.55. The company has a quick ratio of 0.62, a current ratio of 0.62 and a debt-to-equity ratio of 0.48. Charles Schwab has a 52-week low of $83.96 and a 52-week high of $108.55. The firm has a market cap of $187.92 billion, a P/E ratio of 19.65, a PEG ratio of 0.81 and a beta of 0.76.

Charles Schwab (NYSE:SCHW) last posted its earnings results on Tuesday, July 21st. The financial services provider reported $1.62 EPS for the quarter, beating analysts’ consensus estimates of $1.56 by $0.06. The firm had revenue of $7.07 billion for the quarter, compared to analysts’ expectations of $6.90 billion. Charles Schwab had a return on equity of 24.73% and a net margin of 38.79%.The company’s quarterly revenue was up 20.9% on a year-over-year basis. During the same period last year, the firm earned $1.14 EPS. As a group, equities analysts forecast that Charles Schwab will post 6.46 EPS for the current fiscal year.

Charles Schwab Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 14th will be paid a $0.32 dividend. The ex-dividend date of this dividend is Friday, August 14th. This represents a $1.28 dividend on an annualized basis and a yield of 1.2%. Charles Schwab’s dividend payout ratio (DPR) is currently 23.27%.

Trending Headlines about Charles Schwab

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

• Positive Sentiment: Analyst upgrade supports the shares. Compass Point initiated coverage with a “Buy” recommendation and later upgraded Schwab to “Strong Buy,” adding to the bullish research backdrop. Compass initiates coverage of Charles Schwab with Buy recommendation
• Positive Sentiment: Recent earnings remain a key catalyst. Schwab’s latest quarterly report exceeded expectations, with earnings per share of $1.62 versus the $1.56 consensus and revenue of $7.07 billion versus $6.90 billion expected. Revenue increased 20.9% year over year, reinforcing the company’s growth and profitability story. Why Charles Schwab Stock Jumped in July
• Positive Sentiment: Retail-client confidence is improving. Schwab’s Q3 sentiment report found that 47% of retail clients were bullish on U.S. stocks, while many active traders indicated they would buy market declines. Greater trading activity and investor confidence could support transaction-related revenue and asset flows. Schwab Q3 Retail Client Sentiment Report
• Positive Sentiment: Dividend and platform enhancements add shareholder appeal. Schwab declared a regular quarterly dividend of $0.32 per common share, while Orion’s fractional-share trading rollout for advisors using Schwab Advisor Services may improve the platform’s functionality and competitiveness. Charles Schwab Dividend and Retail Sentiment
• Neutral Sentiment: Valuation opinions are mixed. Some analysis suggests SCHW remains below estimated intrinsic value, but its roughly 69% three-year return and elevated earnings multiple mean investors may already be pricing in substantial improvement. Charles Schwab Stock Fair Value Analysis
• Negative Sentiment: Emerging crypto competition is a longer-term risk. Tokenized-stock exchanges are seeking to replicate Schwab’s brokerage model, though Wall Street and regulators remain skeptical. If the model gains traction, it could increase competitive pressure on traditional brokers. Crypto Exchanges Want to Be the Next Charles Schwab

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.