Charles Schwab (NYSE:SCHW) Price Target Cut to $104.00 by Analysts at Evercore

Charles Schwab (NYSE:SCHW) had its price objective lowered by stock analysts at Evercore from $107.00 to $104.00 in a note issued to investors on Friday. Evercore’s price objective suggests a potential upside of 16.02% from the stock’s current price.

Other analysts also recently issued reports about the stock. Zacks Research downgraded shares of Charles Schwab from a “strong-buy” rating to a “hold” rating in a report on Monday, September 14th. UBS Group dropped their price objective on shares of Charles Schwab from $113.00 to $109.00 and set a “buy” rating on the stock in a report on Friday. Wolfe Research restated an “outperform” rating and set a $127.00 price objective (up from $123.00) on shares of Charles Schwab in a report on Tuesday, July 21st. Compass Point initiated coverage on shares of Charles Schwab in a research report on Monday, August 3rd. They set a “buy” rating and a $135.00 price objective for the company. Finally, Deutsche Bank Aktiengesellschaft set a $125.00 target price on shares of Charles Schwab and gave the company a “buy” rating in a research note on Friday. Eighteen analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $120.82.

Charles Schwab Stock Performance

Shares of NYSE SCHW traded down $2.32 during trading hours on Friday, hitting $89.64. 12,502,447 shares of the company’s stock were exchanged, compared to its average volume of 10,096,688. The company’s 50-day moving average price is $104.50 and its 200-day moving average price is $98.18. Charles Schwab has a 1-year low of $83.96 and a 1-year high of $114.53. The stock has a market capitalization of $155.01 billion, a price-to-earnings ratio of 15.30, a PEG ratio of 0.81 and a beta of 0.79. The company has a debt-to-equity ratio of 0.52, a current ratio of 0.64 and a quick ratio of 0.64.

Charles Schwab (NYSE:SCHW) last released its earnings results on Thursday, October 15th. The financial services provider reported $1.69 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.66 by $0.03. The firm had revenue of $7.17 billion for the quarter, compared to analyst estimates of $7.18 billion. Charles Schwab had a return on equity of 25.79% and a net margin of 39.33%. The company’s revenue was up 16.9% on a year-over-year basis. During the same quarter last year, the firm posted $1.31 EPS. On average, sell-side analysts expect that Charles Schwab will post 6.44 earnings per share for the current fiscal year.

Insider Transactions at Charles Schwab

In related news, insider Nigel J. Murtagh sold 24,778 shares of the stock in a transaction on Monday, August 10th. The stock was sold at an average price of $109.01, for a total transaction of $2,701,049.78. Following the sale, the insider owned 57,972 shares of the company’s stock, valued at $6,319,527.72. This trade represents a 29.94% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jonathan S. Beatty sold 1,000 shares of Charles Schwab stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $111.33, for a total value of $111,330.00. Following the sale, the insider owned 10,738 shares of the company’s stock, valued at approximately $1,195,461.54. This represents a 8.52% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 645,582 shares of company stock worth $69,553,935. 6.30% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Charles Schwab

Hedge funds have recently modified their holdings of the company. Bank of New York Mellon Corp raised its holdings in Charles Schwab by 22.9% in the 1st quarter. Bank of New York Mellon Corp now owns 16,162,082 shares of the financial services provider’s stock valued at $1,518,913,000 after acquiring an additional 3,009,884 shares during the last quarter. Bank of America Corp DE boosted its holdings in shares of Charles Schwab by 3.5% during the first quarter. Bank of America Corp DE now owns 15,623,030 shares of the financial services provider’s stock worth $1,468,252,000 after purchasing an additional 530,191 shares during the last quarter. Flossbach Von Storch SE acquired a new stake in shares of Charles Schwab during the second quarter worth $987,930,000. Dimensional Fund Advisors LP boosted its holdings in shares of Charles Schwab by 1.1% during the first quarter. Dimensional Fund Advisors LP now owns 5,742,934 shares of the financial services provider’s stock worth $539,705,000 after purchasing an additional 60,979 shares during the last quarter. Finally, Provident Trust Co. grew its position in shares of Charles Schwab by 0.4% in the second quarter. Provident Trust Co. now owns 3,716,441 shares of the financial services provider’s stock valued at $342,916,000 after purchasing an additional 13,616 shares during the period. 84.38% of the stock is owned by institutional investors and hedge funds.

Charles Schwab News Roundup

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

• Positive Sentiment: Schwab’s CEO said clients using artificial intelligence for trading are holding more cash than other active traders, potentially supporting deposits, liquidity and net interest revenue. AI Was Expected to Drain Charles Schwab’s Cash
• Positive Sentiment: The company added an international bond exchange-traded fund, broadening its investment-product lineup and potentially increasing fee-generating assets. Charles Schwab Added an International Bond ETF
• Positive Sentiment: Citizens reaffirmed a “Market Outperform” rating, while recent quarterly results showed earnings above consensus, record revenue and year-over-year revenue growth. Citizens Reaffirms Market Outperform Rating
• Neutral Sentiment: Schwab and other financial firms are blocking unauthorized third-party AI agents from accessing accounts or moving money. The measures may reduce security and liability risks, but could limit near-term AI-related innovation and customer functionality. Schwab and JPMorgan Block Unauthorized AI Agents
• Negative Sentiment: Although quarterly EPS exceeded expectations, revenue came in slightly below analyst forecasts. The mixed result has contributed to cautious investor sentiment. Charles Schwab Shares Dip After Q3 Revenue Disappoints
• Negative Sentiment: BMO Capital Markets lowered its price target from $105 to $97 and assigned a “Market Perform” rating. JPMorgan also cut its price target, reinforcing concerns about the stock’s near-term upside and valuation. Charles Schwab Price Target Cut by JPMorgan

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.