William Blair Analysts Lift Earnings Estimates for The Charles Schwab Co. (NYSE:SCHW)

The Charles Schwab Co. (NYSE:SCHW) – Equities researchers at William Blair boosted their Q2 2024 earnings estimates for shares of Charles Schwab in a research report issued on Tuesday, April 16th. William Blair analyst J. Schmitt now expects that the financial services provider will earn $0.85 per share for the quarter, up from their prior estimate of $0.82. The consensus estimate for Charles Schwab’s current full-year earnings is $3.41 per share. William Blair also issued estimates for Charles Schwab’s Q3 2024 earnings at $0.90 EPS, Q4 2024 earnings at $0.96 EPS, FY2024 earnings at $3.45 EPS and Q3 2025 earnings at $1.08 EPS.

Other equities research analysts have also issued research reports about the stock. Barclays increased their price objective on shares of Charles Schwab from $74.00 to $75.00 and gave the stock an “equal weight” rating in a research note on Tuesday. The Goldman Sachs Group restated a “neutral” rating and issued a $71.00 target price (up previously from $70.00) on shares of Charles Schwab in a research report on Wednesday, January 3rd. Citigroup upped their target price on shares of Charles Schwab from $70.00 to $75.00 and gave the stock a “neutral” rating in a research report on Thursday, April 11th. TD Cowen upped their target price on shares of Charles Schwab from $87.00 to $92.00 and gave the stock a “buy” rating in a research report on Tuesday. Finally, Bank of America upped their target price on shares of Charles Schwab from $68.00 to $70.00 and gave the stock an “underperform” rating in a research report on Tuesday. Three research analysts have rated the stock with a sell rating, six have given a hold rating and seven have given a buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $74.47.

Charles Schwab Stock Performance

NYSE:SCHW opened at $72.92 on Wednesday. The company has a debt-to-equity ratio of 0.82, a current ratio of 0.43 and a quick ratio of 0.43. The firm has a 50-day moving average of $68.38 and a two-hundred day moving average of $62.89. The stock has a market cap of $129.51 billion, a P/E ratio of 30.51, a PEG ratio of 1.10 and a beta of 1.01. Charles Schwab has a 1-year low of $45.65 and a 1-year high of $73.88.

Charles Schwab (NYSE:SCHW) last posted its quarterly earnings data on Wednesday, January 17th. The financial services provider reported $0.68 earnings per share for the quarter, beating analysts’ consensus estimates of $0.64 by $0.04. The company had revenue of $4.46 billion during the quarter, compared to analysts’ expectations of $4.49 billion. Charles Schwab had a net margin of 26.14% and a return on equity of 19.86%. The firm’s revenue for the quarter was down 18.9% on a year-over-year basis. During the same period in the prior year, the company posted $1.07 EPS.

Charles Schwab Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, February 23rd. Investors of record on Friday, February 9th were given a $0.25 dividend. The ex-dividend date was Thursday, February 8th. This represents a $1.00 annualized dividend and a dividend yield of 1.37%. Charles Schwab’s dividend payout ratio (DPR) is presently 41.84%.

Insiders Place Their Bets

In other Charles Schwab news, COO Joseph R. Martinetto sold 43,000 shares of the stock in a transaction that occurred on Tuesday, April 16th. The shares were sold at an average price of $70.83, for a total value of $3,045,690.00. Following the completion of the sale, the chief operating officer now owns 41,414 shares in the company, valued at approximately $2,933,353.62. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. In other Charles Schwab news, COO Joseph R. Martinetto sold 43,000 shares of the stock in a transaction that occurred on Tuesday, April 16th. The shares were sold at an average price of $70.83, for a total value of $3,045,690.00. Following the completion of the sale, the chief operating officer now owns 41,414 shares in the company, valued at approximately $2,933,353.62. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Peter B. Crawford sold 5,482 shares of the stock in a transaction that occurred on Thursday, April 18th. The stock was sold at an average price of $73.46, for a total transaction of $402,707.72. Following the completion of the sale, the chief financial officer now owns 60,567 shares of the company’s stock, valued at approximately $4,449,251.82. The disclosure for this sale can be found here. Insiders sold a total of 312,800 shares of company stock worth $21,081,569 in the last quarter. 6.60% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of SCHW. Price T Rowe Associates Inc. MD grew its position in Charles Schwab by 33.4% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 69,360,233 shares of the financial services provider’s stock worth $4,771,985,000 after purchasing an additional 17,369,091 shares during the last quarter. Norges Bank bought a new stake in shares of Charles Schwab during the fourth quarter worth $1,325,555,000. Morgan Stanley grew its holdings in shares of Charles Schwab by 62.5% during the fourth quarter. Morgan Stanley now owns 22,255,649 shares of the financial services provider’s stock worth $1,853,005,000 after purchasing an additional 8,563,389 shares during the last quarter. Dodge & Cox boosted its holdings in Charles Schwab by 10.5% in the fourth quarter. Dodge & Cox now owns 86,421,986 shares of the financial services provider’s stock valued at $5,945,833,000 after acquiring an additional 8,182,467 shares during the last quarter. Finally, Massachusetts Financial Services Co. MA boosted its holdings in Charles Schwab by 26.3% in the third quarter. Massachusetts Financial Services Co. MA now owns 29,775,952 shares of the financial services provider’s stock valued at $1,634,700,000 after acquiring an additional 6,195,934 shares during the last quarter. 84.38% of the stock is currently owned by institutional investors and hedge funds.

About Charles Schwab

The Charles Schwab Corporation, together with its subsidiaries, operates as a savings and loan holding company that provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services in the United States and internationally. The company operates in two segments, Investor Services and Advisor Services.