Is Charles Schwab Stock a Good Investment?
Charles Schwab Investment Advice | SCHW |
- Examine Charles Schwab's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Charles Schwab's leadership team and their track record. Good management can help Charles Schwab navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Investment Banking & Brokerage space and any emerging trends that could impact Charles Schwab's business and its evolving consumer preferences.
- Compare Charles Schwab's performance and market position to its competitors. Analyze how Charles Schwab is positioned in terms of product offerings, innovation, and market share.
- Check if Charles Schwab pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Charles Schwab's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Charles Schwab Corp stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Charles Schwab Corp is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Charles Schwab Stock
Researching Charles Schwab's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 75.0% of the company shares are owned by institutional investors. The book value of Charles Schwab was at this time reported as 20.78. The company has Price/Earnings To Growth (PEG) ratio of 0.92. Charles Schwab Corp last dividend was issued on the 14th of February 2025. The entity had 3:2 split on the 31st of May 2000.
To determine if Charles Schwab is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Charles Schwab's research are outlined below:
| Charles Schwab Corp generated a negative expected return over the last 90 days | |
| Charles Schwab Corp currently holds 59.08 B in liabilities with Debt to Equity (D/E) ratio of 0.71, which is about average as compared to similar companies. Charles Schwab Corp has a current ratio of 0.39, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Charles Schwab's use of debt, we should always consider it together with its cash and equity. | |
| Over 75.0% of Charles Schwab shares are owned by institutional investors | |
| Latest headline from zacks.com: LPL Financial Hits All-Time High How Should You Play LPLA Stock Now |
Charles Schwab Quarterly Cost Of Revenue |
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Charles Schwab uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Charles Schwab Corp. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Charles Schwab's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 15th of April 2024 Upcoming Quarterly Report | View | |
| 16th of July 2024 Next Financial Report | View | |
| 31st of March 2024 Next Fiscal Quarter End | View | |
| 15th of January 2025 Next Fiscal Year End | View | |
| 31st of December 2023 Last Quarter Report | View | |
| 31st of December 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Charles Schwab's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Charles Schwab's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2010-10-15 | 2010-09-30 | 0.09 | 0.1 | 0.01 | 11 | ||
2004-07-20 | 2004-06-30 | 0.09 | 0.08 | -0.01 | 11 | ||
2003-10-21 | 2003-09-30 | 0.1 | 0.11 | 0.01 | 10 | ||
2003-01-21 | 2002-12-31 | 0.08 | 0.07 | -0.01 | 12 | ||
2002-07-16 | 2002-06-30 | 0.08 | 0.07 | -0.01 | 12 | ||
2001-10-16 | 2001-09-30 | 0.05 | 0.06 | 0.01 | 20 | ||
2001-07-17 | 2001-06-30 | 0.08 | 0.07 | -0.01 | 12 | ||
1999-01-19 | 1998-12-31 | 0.08 | 0.09 | 0.01 | 12 |
Charles Schwab Target Price Consensus
Charles target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Charles Schwab's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 23 | Buy |
Most Charles analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Charles stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Charles Schwab Corp, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationCharles Schwab Target Price Projection
Charles Schwab's current and average target prices are 79.00 and 85.19, respectively. The current price of Charles Schwab is the price at which Charles Schwab Corp is currently trading. On the other hand, Charles Schwab's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Charles Schwab Market Quote on 25th of February 2025
Target Price
Analyst Consensus On Charles Schwab Target Price
Charles Schwab Analyst Ratings
Charles Schwab's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Charles Schwab stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Charles Schwab's financials, market performance, and future outlook by experienced professionals. Charles Schwab's historical ratings below, therefore, can serve as a valuable tool for investors.Know Charles Schwab's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Charles Schwab is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Charles Schwab Corp backward and forwards among themselves. Charles Schwab's institutional investor refers to the entity that pools money to purchase Charles Schwab's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Massachusetts Financial Services Company | 2024-12-31 | 22 M | Fisher Asset Management, Llc | 2024-12-31 | 20.5 M | Artisan Partners Limited Partnership | 2024-12-31 | 18.1 M | Norges Bank | 2024-12-31 | 17.4 M | Northern Trust Corp | 2024-12-31 | 15.7 M | Amvescap Plc. | 2024-12-31 | 14.8 M | Alliancebernstein L.p. | 2024-12-31 | 14.8 M | Viking Global Investors Lp | 2024-12-31 | 14.7 M | Generation Investment Management Llp | 2024-12-31 | 13.5 M | The Toronto-dominion Bank | 2024-12-31 | 185.5 M | Vanguard Group Inc | 2024-12-31 | 128.6 M |
Charles Schwab's market capitalization trends
The company currently falls under 'Mega-Cap' category with a current market capitalization of 145.25 B.Market Cap |
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Charles Schwab's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.01 | 0.01 | |
| Return On Capital Employed | 0.09 | 0.08 | |
| Return On Assets | 0.01 | 0.01 | |
| Return On Equity | 0.14 | 0.20 |
Determining Charles Schwab's profitability involves analyzing its financial statements and using various financial metrics to determine if Charles Schwab is a good buy. For example, gross profit margin measures Charles Schwab's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Charles Schwab's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Charles Schwab's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Charles Schwab Corp. Check Charles Schwab's Beneish M Score to see the likelihood of Charles Schwab's management manipulating its earnings.
Evaluate Charles Schwab's management efficiency
Charles Schwab Corp has return on total asset (ROA) of 0.0109 % which means that it generated a profit of $0.0109 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.1348 %, meaning that it created $0.1348 on every $100 dollars invested by stockholders. Charles Schwab's management efficiency ratios could be used to measure how well Charles Schwab manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Charles Schwab's Return On Tangible Assets are fairly stable compared to the past year. Return On Assets is likely to climb to 0.01 in 2025, whereas Return On Capital Employed is likely to drop 0.08 in 2025. At this time, Charles Schwab's Debt To Assets are fairly stable compared to the past year. Fixed Asset Turnover is likely to climb to 6.70 in 2025, despite the fact that Other Current Assets are likely to grow to (120.7 B).| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 20.21 | 21.22 | |
| Tangible Book Value Per Share | 10.24 | 10.75 | |
| Enterprise Value Over EBITDA | 16.47 | 9.28 | |
| Price Book Value Ratio | 3.52 | 5.03 | |
| Price Fair Value | 3.52 | 5.03 | |
| Enterprise Value Multiple | 16.47 | 9.28 | |
| Enterprise Value | 12.6 B | 13.2 B |
Examining the leadership quality of Charles Schwab Corp offers valuable insights into its operational efficiency and financial health. This analysis assists investors in making informed decisions regarding the stock.
Basic technical analysis of Charles Stock
As of the 25th of February, Charles Schwab shows the mean deviation of 1.02, and Risk Adjusted Performance of 0.008. In respect to fundamental indicators, the technical analysis model gives you tools to check existing technical drivers of Charles Schwab, as well as the relationship between them. Please confirm Charles Schwab Corp mean deviation, information ratio, as well as the relationship between the Information Ratio and downside variance to decide if Charles Schwab Corp is priced correctly, providing market reflects its regular price of 79.0 per share. Given that Charles Schwab has jensen alpha of (0.0002), we suggest you to validate Charles Schwab Corp's prevailing market performance to make sure the company can sustain itself at a future point.Charles Schwab's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Charles Schwab insiders, such as employees or executives, is commonly permitted as long as it does not rely on Charles Schwab's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Charles Schwab insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Arun Sarin over a month ago Disposition of 8548 shares by Arun Sarin of Charles Schwab at 31.21 subject to Rule 16b-3 | ||
Beatty Jonathan S over six months ago Disposition of 780 shares by Beatty Jonathan S of Charles Schwab at 44.24 subject to Rule 16b-3 | ||
Beatty Jonathan S over six months ago Discretionary transaction by Beatty Jonathan S of tradable shares of Charles Schwab subject to Rule 16b-3 | ||
Peter Crawford over six months ago Acquisition by Peter Crawford of 5482 shares of Charles Schwab at 28.44 subject to Rule 16b-3 | ||
Stephen Ellis over six months ago Acquisition by Stephen Ellis of 2077 shares of Charles Schwab at 57.72 subject to Rule 16b-3 | ||
Robert Wilson over a year ago Exercise or conversion by Robert Wilson of 5244 shares of Charles Schwab subject to Rule 16b-3 |
Charles Schwab's Outstanding Corporate Bonds
Charles Schwab issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Charles Schwab Corp uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Charles bonds can be classified according to their maturity, which is the date when Charles Schwab Corp has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| SCHWAB CHARLES P Corp BondUS808513AL92 | View | |
| SCHWAB CHARLES P Corp BondUS808513AM75 | View | |
| SCHWAB CHARLES P Corp BondUS808513AU91 | View | |
| SCHW 5 Corp BondUS808513AR62 | View | |
| SCHWAB CHARLES P Corp BondUS808513AQ89 | View | |
| SCHWAB CHARLES P Corp BondUS808513AX31 | View | |
| SCHWAB CHARLES P Corp BondUS808513AZ88 | View | |
| CHARLES SCHWAB PORATION Corp BondUS808513BF16 | View |
Understand Charles Schwab's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Charles Schwab's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.008 | |||
| Market Risk Adjusted Performance | 0.0048 | |||
| Mean Deviation | 1.02 | |||
| Semi Deviation | 1.53 | |||
| Downside Deviation | 1.56 | |||
| Coefficient Of Variation | 24633.78 | |||
| Standard Deviation | 1.48 | |||
| Variance | 2.19 | |||
| Information Ratio | 6.0E-4 | |||
| Jensen Alpha | (0.0002) | |||
| Total Risk Alpha | 0.0057 | |||
| Sortino Ratio | 5.0E-4 | |||
| Treynor Ratio | (0.01) | |||
| Maximum Drawdown | 8.32 | |||
| Value At Risk | (2.41) | |||
| Potential Upside | 2.16 | |||
| Downside Variance | 2.42 | |||
| Semi Variance | 2.33 | |||
| Expected Short fall | (0.94) | |||
| Skewness | 0.4384 | |||
| Kurtosis | 3.77 |
| Risk Adjusted Performance | 0.008 | |||
| Market Risk Adjusted Performance | 0.0048 | |||
| Mean Deviation | 1.02 | |||
| Semi Deviation | 1.53 | |||
| Downside Deviation | 1.56 | |||
| Coefficient Of Variation | 24633.78 | |||
| Standard Deviation | 1.48 | |||
| Variance | 2.19 | |||
| Information Ratio | 6.0E-4 | |||
| Jensen Alpha | (0.0002) | |||
| Total Risk Alpha | 0.0057 | |||
| Sortino Ratio | 5.0E-4 | |||
| Treynor Ratio | (0.01) | |||
| Maximum Drawdown | 8.32 | |||
| Value At Risk | (2.41) | |||
| Potential Upside | 2.16 | |||
| Downside Variance | 2.42 | |||
| Semi Variance | 2.33 | |||
| Expected Short fall | (0.94) | |||
| Skewness | 0.4384 | |||
| Kurtosis | 3.77 |
Consider Charles Schwab's intraday indicators
Charles Schwab intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Charles Schwab stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 438996.0 | |||
| Daily Balance Of Power | (0.52) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 79.57 | |||
| Day Typical Price | 79.38 | |||
| Price Action Indicator | (1.13) | |||
| Period Momentum Indicator | (1.12) | |||
| Relative Strength Index | 54.44 |
Charles Schwab Corporate Filings
F4 | 19th of February 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 12th of February 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 11th of February 2025 Other Reports | ViewVerify | |
13A | 13th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
Charles Stock media impact
Far too much social signal, news, headlines, and media speculation about Charles Schwab that are available to investors today. That information is available publicly through Charles media outlets and privately through word of mouth or via Charles internal channels. However, regardless of the origin, that massive amount of Charles data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Charles Schwab news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Charles Schwab relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Charles Schwab's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Charles Schwab alpha.
Charles Schwab Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Charles Schwab can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Charles Schwab Corp Historical Investor Sentiment
Investor biases related to Charles Schwab's public news can be used to forecast risks associated with an investment in Charles. The trend in average sentiment can be used to explain how an investor holding Charles can time the market purely based on public headlines and social activities around Charles Schwab Corp. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Charles Schwab's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Charles Schwab and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Charles Schwab news discussions. The higher the estimate score, the more favorable the investor's outlook on Charles Schwab.
Charles Schwab Maximum Pain Price Across May 16th 2025 Option Contracts
Charles Schwab's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Charles Schwab close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Charles Schwab's options.
Charles Schwab Corporate Directors
| John Adams | Independent Director | Profile | |
| Frank Herringer | Independent Director | Profile | |
| Joan Dea | Independent Director | Profile | |
| Christopher Dodds | Independent Director | Profile |
Additional Tools for Charles Stock Analysis
When running Charles Schwab's price analysis, check to measure Charles Schwab's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Charles Schwab is operating at the current time. Most of Charles Schwab's value examination focuses on studying past and present price action to predict the probability of Charles Schwab's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Charles Schwab's price. Additionally, you may evaluate how the addition of Charles Schwab to your portfolios can decrease your overall portfolio volatility.