Erste Group Bank Lifts Earnings Estimates for Charles Schwab

The Charles Schwab Corporation (NYSE:SCHW) – Erste Group Bank boosted their FY2026 earnings per share (EPS) estimates for Charles Schwab in a research note issued on Monday, July 27th. Erste Group Bank analyst S. Lingnau now forecasts that the financial services provider will post earnings of $6.50 per share for the year, up from their prior estimate of $6.34. The consensus estimate for Charles Schwab’s current full-year earnings is $6.45 per share. Erste Group Bank also issued estimates for Charles Schwab’s FY2027 earnings at $7.85 EPS.

Charles Schwab (NYSE:SCHW) last released its quarterly earnings data on Tuesday, July 21st. The financial services provider reported $1.62 earnings per share for the quarter, topping analysts’ consensus estimates of $1.56 by $0.06. Charles Schwab had a net margin of 38.79% and a return on equity of 24.73%. The company had revenue of $7.07 billion for the quarter, compared to analysts’ expectations of $6.90 billion. During the same quarter last year, the company earned $1.14 earnings per share. The firm’s revenue for the quarter was up 20.9% on a year-over-year basis.

Other analysts have also recently issued research reports about the company. Zacks Research upgraded Charles Schwab from a “hold” rating to a “strong-buy” rating in a research report on Thursday, July 9th. Argus boosted their price objective on Charles Schwab from $108.00 to $114.00 and gave the company a “buy” rating in a research note on Thursday, July 23rd. UBS Group raised their price objective on shares of Charles Schwab from $122.00 to $128.00 and gave the stock a “buy” rating in a research report on Wednesday, July 22nd. Citigroup restated a “market outperform” rating on shares of Charles Schwab in a research note on Wednesday, July 22nd. Finally, Wolfe Research reiterated an “outperform” rating and issued a $127.00 price objective on shares of Charles Schwab in a research report on Tuesday, July 21st. One research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Charles Schwab presently has a consensus rating of “Moderate Buy” and a consensus target price of $119.94.

Charles Schwab Price Performance

Shares of NYSE:SCHW opened at $106.17 on Wednesday. Charles Schwab has a 12 month low of $83.96 and a 12 month high of $107.50. The firm has a market capitalization of $184.65 billion, a P/E ratio of 19.30, a P/E/G ratio of 0.84 and a beta of 0.77. 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 company’s fifty day moving average price is $94.46 and its 200 day moving average price is $95.37.

Charles Schwab Announces Dividend

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

Insiders Place Their Bets

In other news, insider Jonathan S. Beatty sold 2,000 shares of the firm’s stock in a transaction that occurred on Tuesday, July 21st. The stock was sold at an average price of $104.21, for a total value of $208,420.00. Following the completion of the sale, the insider directly owned 11,738 shares of the company’s stock, valued at $1,223,216.98. This trade represents a 14.56% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Nigel J. Murtagh sold 4,053 shares of Charles Schwab stock in a transaction that occurred on Tuesday, July 21st. The shares were sold at an average price of $104.14, for a total value of $422,079.42. Following the completion of the sale, the insider owned 57,972 shares in the company, valued at approximately $6,037,204.08. This trade represents a 6.53% 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 90 days, insiders have sold 17,005 shares of company stock worth $1,733,892. Company insiders own 6.30% of the company’s stock.

Institutional Investors Weigh In On Charles Schwab

Hedge funds and other institutional investors have recently bought and sold shares of the business. Trust Asset Management LLC increased 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 in the last quarter. Whitener Capital Management Inc. boosted its stake in Charles Schwab by 17.0% in the 2nd 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 during the last quarter. Tema ETFs LLC boosted its position 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 acquiring an additional 3,045 shares during the last quarter. Lederer & Associates Investment Counsel CA purchased a new stake in Charles Schwab in the second quarter valued at approximately $1,624,000. Finally, Peoples Bank KS grew its stake in shares of Charles Schwab by 2.7% during the 2nd quarter. Peoples Bank KS now owns 4,331 shares of the financial services provider’s stock valued at $400,000 after buying an additional 113 shares during the period. Institutional investors and hedge funds own 84.38% of the company’s stock.

Charles Schwab News Roundup

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

• Positive Sentiment: Planned $20 billion share repurchase: Charles Schwab reportedly plans to buy back $20 billion of its stock, a substantial capital-allocation commitment that could reduce shares outstanding, support earnings per share and signal management’s confidence in the company’s valuation and cash-generation outlook. Charles Schwab to buy back $20 billion of stock
• Positive Sentiment: Analysts continue to favor SCHW as a growth stock: Charles Schwab was included among analysts’ preferred growth names, reflecting confidence in demand trends and longer-term catalysts. The view is consistent with the company’s latest quarterly performance, which included earnings and revenue above consensus and 20.9% year-over-year revenue growth. Best Growth Stocks to Buy This Week
• Positive Sentiment: Retail investor sentiment is improving: Schwab executive James Kostulias said bullishness among retail traders is rising. Greater investor participation and trading activity could support Schwab’s brokerage-related revenue and asset-gathering trends. Charles Schwab executive discusses rising retail bullishness
• Positive Sentiment: Potential cryptocurrency-regulation tailwind: Schwab reportedly backed the CLARITY Act ahead of an August deadline. Clearer digital-asset rules could help established financial firms expand crypto-related products and services, although the legislation remains subject to the legislative process. Charles Schwab backs the CLARITY Act
• Neutral Sentiment: Commentary highlighting “three big reasons” to favor SCHW and a report on billionaire investor Andreas Halvorsen’s holdings add to positive market attention, but these opinions are not new company fundamentals or formal analyst actions. Three big reasons to favor Charles Schwab Andreas Halvorsen’s top picks
• Negative Sentiment: Several insiders sold shares, including General Counsel Peter J. Morgan III and executives Jonathan S. Beatty and Nigel J. Murtagh. The transactions were made under pre-arranged Rule 10b5-1 plans, reducing their significance as a bearish signal, but they may still create limited investor caution.

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.