Charles Schwab (NYSE:SCHW) Raised to “Strong-Buy” at Zacks Research

Charles Schwab (NYSE:SCHW) was upgraded by Zacks Research from a “hold” rating to a “strong-buy” rating in a research note issued on Thursday,Zacks.com reports.

Several other brokerages have also recently issued reports on SCHW. UBS Group increased their target price on Charles Schwab from $119.00 to $122.00 and gave the company a “buy” rating in a research report on Wednesday. Barclays decreased their price objective on Charles Schwab from $127.00 to $122.00 and set an “overweight” rating for the company in a research note on Thursday. Truist Financial dropped their price objective on Charles Schwab from $122.00 to $120.00 and set a “buy” rating on the stock in a research report on Wednesday, April 1st. Morgan Stanley lifted their target price on Charles Schwab from $125.00 to $133.00 and gave the company an “overweight” rating in a research note on Friday. Finally, TD Cowen boosted their target price on shares of Charles Schwab from $108.00 to $109.00 and gave the stock a “buy” rating in a report on Friday, May 15th. Two investment analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $116.32.

Charles Schwab Stock Up 1.1%

Shares of SCHW traded up $1.11 during mid-day trading on Thursday, hitting $103.02. The company’s stock had a trading volume of 5,677,657 shares, compared to its average volume of 10,709,114. The company has a current ratio of 0.62, a quick ratio of 0.62 and a debt-to-equity ratio of 0.48. The company’s 50-day moving average is $91.64 and its 200-day moving average is $95.34. Charles Schwab has a 52-week low of $83.96 and a 52-week high of $107.50. The firm has a market capitalization of $179.17 billion, a price-to-earnings ratio of 20.44, a PEG ratio of 0.93 and a beta of 0.77.

Charles Schwab (NYSE:SCHW) last issued its quarterly earnings data on Thursday, April 16th. The financial services provider reported $1.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.39 by $0.04. The company had revenue of $6.48 billion for the quarter, compared to analyst estimates of $6.39 billion. Charles Schwab had a net margin of 37.99% and a return on equity of 23.05%. Charles Schwab’s revenue was up 15.8% compared to the same quarter last year. During the same period last year, the company posted $1.04 earnings per share. Charles Schwab has set its FY 2026 guidance at 5.700-5.800 EPS. On average, equities research analysts forecast that Charles Schwab will post 6.19 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Paul V. Woolway sold 7,941 shares of the company’s stock in a transaction dated Wednesday, April 15th. The shares were sold at an average price of $100.00, for a total transaction of $794,100.00. Following the transaction, the insider owned 29,866 shares in the company, valued at $2,986,600. This represents a 21.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Frank C. Herringer sold 2,520 shares of the stock in a transaction that occurred on Tuesday, April 28th. The shares were sold at an average price of $90.60, for a total transaction of $228,312.00. Following the completion of the transaction, the director directly owned 177,508 shares of the company’s stock, valued at $16,082,224.80. The trade was a 1.40% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 63,700 shares of company stock worth $6,283,211 in the last three months. Insiders own 6.30% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the stock. State Street Corp grew its holdings in shares of Charles Schwab by 1.0% during the third quarter. State Street Corp now owns 73,156,290 shares of the financial services provider’s stock valued at $6,984,231,000 after buying an additional 691,671 shares during the last quarter. Geode Capital Management LLC raised its stake in Charles Schwab by 0.3% in the 4th quarter. Geode Capital Management LLC now owns 37,667,640 shares of the financial services provider’s stock worth $3,747,646,000 after acquiring an additional 98,242 shares during the last quarter. Franklin Resources Inc. raised its stake in Charles Schwab by 0.3% in the 4th quarter. Franklin Resources Inc. now owns 30,184,369 shares of the financial services provider’s stock worth $3,015,720,000 after acquiring an additional 78,020 shares during the last quarter. Primecap Management Co. CA lifted its position in Charles Schwab by 9.7% during the 4th quarter. Primecap Management Co. CA now owns 23,276,071 shares of the financial services provider’s stock worth $2,325,512,000 after acquiring an additional 2,066,884 shares during the period. Finally, Fisher Asset Management LLC grew its stake in Charles Schwab by 0.8% during the 4th quarter. Fisher Asset Management LLC now owns 21,818,514 shares of the financial services provider’s stock valued at $2,179,888,000 after purchasing an additional 171,926 shares during the last quarter. Institutional investors and hedge funds own 84.38% of the company’s stock.

Charles Schwab News Summary

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

• Positive Sentiment: Charles Schwab was upgraded to a Zacks Rank #1 (Strong Buy), signaling improving earnings outlooks and potentially boosting near-term investor sentiment. Article Title
• Positive Sentiment: Morgan Stanley raised its price target on SCHW to $133 from $125 and kept an overweight rating, reinforcing expectations for more upside.
• Positive Sentiment: Brokerage sentiment remains constructive overall, with another report citing an average Moderate Buy rating from analysts.
• Positive Sentiment: Schwab’s push into digital assets and crypto trading could be an additional long-term growth driver, as the company reportedly hires for its blockchain and crypto team ahead of a rollout. Article Title
• Neutral Sentiment: Schwab strategists warned that the era of easy index gains may be ending, reflecting a more volatile market backdrop that could affect trading and client behavior in either direction. Article Title
• Neutral Sentiment: Media coverage about Trump-related trading activity through a Schwab account is likely more of a headline risk than a direct business driver unless it leads to regulatory or reputational issues. Article Title
• Negative Sentiment: Barclays lowered its price target on SCHW to $122 from $127, which is a modest negative, though the firm still rates the stock overweight.

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.