The Charles Schwab Corporation (NYSE:SCHW) Stock Has Consensus Price Target of $118.95

Shares of The Charles Schwab Corporation (NYSE:SCHW) have earned a consensus rating of “Moderate Buy” from the twenty-four research firms that are presently covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a sell recommendation, five have given a hold recommendation and eighteen have given a buy recommendation to the company. The average twelve-month price objective among brokerages that have updated their coverage on the stock in the last year is $120.18.

A number of research firms have recently issued reports on SCHW. Weiss Ratings raised shares of Charles Schwab from a “buy (b-)” rating to a “buy (b)” rating in a research report on Thursday, September 10th. Compass Point boosted their price objective on shares of Charles Schwab from $135.00 to $136.00 and gave the company a “buy” rating in a research report on Tuesday, October 6th. Piper Sandler dropped their price objective on shares of Charles Schwab from $118.00 to $100.00 and set a “neutral” rating on the stock in a research note on Friday, October 2nd. Morgan Stanley dropped their price objective on shares of Charles Schwab from $141.00 to $132.00 and set an “overweight” rating on the stock in a research note on Wednesday. Finally, Bank of America increased their target price on shares of Charles Schwab from $91.00 to $95.00 and gave the stock an “underperform” rating in a research report on Monday, October 5th.

Insider Activity at Charles Schwab

In other Charles Schwab news, insider Nigel J. Murtagh sold 32,947 shares of the company’s stock in a transaction dated Monday, July 27th. The stock was sold at an average price of $104.01, for a total value of $3,426,817.47. Following the transaction, the insider directly owned 57,972 shares of the company’s stock, valued at $6,029,667.72. This represents a 36.24% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Walter W. Bettinger sold 192,488 shares of the firm’s stock in a transaction dated Monday, July 27th. The stock was sold at an average price of $103.90, for a total value of $19,999,503.20. Following the sale, the chairman directly owned 529,346 shares of the company’s stock, valued at $54,999,049.40. This trade represents a 26.67% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 632,577 shares of company stock valued at $68,214,123. 6.30% of the stock is owned by insiders.

Institutional Investors Weigh In On Charles Schwab

Several large investors have recently made changes to their positions in SCHW. Flossbach Von Storch SE bought a new stake in Charles Schwab in the second quarter valued at about $987,930,000. Bank of New York Mellon Corp lifted its stake in Charles Schwab by 22.9% during the first quarter. Bank of New York Mellon Corp now owns 16,162,082 shares of the financial services provider’s stock worth $1,518,913,000 after purchasing an additional 3,009,884 shares during the period. Danske Bank A S bought a new position in Charles Schwab during the second quarter worth about $145,950,000. Vaughan Nelson Investment Management L.P. acquired a new stake in Charles Schwab during the first quarter valued at approximately $129,140,000. Finally, Assenagon Asset Management S.A. boosted its holdings in Charles Schwab by 67.6% during the third quarter. Assenagon Asset Management S.A. now owns 2,923,270 shares of the financial services provider’s stock valued at $285,720,000 after purchasing an additional 1,179,312 shares in the last quarter. Institutional investors own 84.38% of the company’s stock.

Charles Schwab Price Performance

SCHW opened at $90.56 on Friday. The firm has a market capitalization of $156.61 billion, a P/E ratio of 15.45, a PEG ratio of 0.81 and a beta of 0.79. The stock has a fifty day moving average of $102.66 and a 200-day moving average of $98.06. The company has a quick ratio of 0.64, a current ratio of 0.64 and a debt-to-equity ratio of 0.52. Charles Schwab has a 12-month low of $83.96 and a 12-month high of $114.53.

Charles Schwab (NYSE:SCHW) last posted its quarterly earnings results on Thursday, October 15th. The financial services provider reported $1.69 earnings per share for the quarter, beating the consensus estimate of $1.66 by $0.03. Charles Schwab had a return on equity of 25.79% and a net margin of 39.33%. The firm had revenue of $7.17 billion for the quarter, compared to analyst estimates of $7.18 billion. During the same period in the previous year, the firm earned $1.31 earnings per share. Charles Schwab’s quarterly revenue was up 16.9% on a year-over-year basis. Equities analysts forecast that Charles Schwab will post 6.41 EPS for the current fiscal year.

Charles Schwab Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, November 27th. Stockholders of record on Friday, November 13th will be paid a $0.32 dividend. The ex-dividend date of this dividend is Friday, November 13th. This represents a $1.28 dividend on an annualized basis and a dividend yield of 1.4%. Charles Schwab’s dividend payout ratio is 21.84%.

Charles Schwab News Summary

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

• Positive Sentiment: Schwab may benefit if short-term interest rates remain elevated. Higher yields can increase the income the cash-rich brokerage earns on client balances, potentially supporting net interest revenue and profitability. Why Charles Schwab Stock Could Benefit If Short Term Rates Stay Higher
• Positive Sentiment: The board declared a regular quarterly common-stock dividend of $0.32 per share, equivalent to $1.28 annually and a stated yield of approximately 1.4%. The dividend is payable November 27 to shareholders of record November 13. Schwab Declares Quarterly Common Stock Dividend and Declares Preferred Stock Dividends
• Positive Sentiment: Opening two Portland branches could expand Schwab’s local presence and support client acquisition, although the financial impact is likely modest initially. Schwab opens two new Portland branches to expand local access

About Charles Schwab

The Charles Schwab Corporation (NYSE: SCHW) is a financial services company that provides investment, wealth management, banking and related services to individual investors, financial professionals and institutional clients. Through its brokerage business, Schwab offers trading and custody services for stocks, exchange-traded funds, mutual funds, options, fixed-income securities and other investments, along with retirement accounts and investment research tools.

The company also provides advisory and wealth management services, including managed portfolios, financial planning and support for registered investment advisors.