Swedbank AB Increases Stake in The Charles Schwab Corporation $SCHW

Swedbank AB boosted its stake in The Charles Schwab Corporation (NYSE:SCHW) by 4.2% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 650,882 shares of the financial services provider’s stock after purchasing an additional 26,461 shares during the period. Swedbank AB’s holdings in Charles Schwab were worth $50,951,000 at the end of the most recent reporting period.

A number of other large investors have also bought and sold shares of SCHW. Vanguard Group Inc. increased its stake in shares of Charles Schwab by 15.4% during the first quarter. Vanguard Group Inc. now owns 148,395,252 shares of the financial services provider’s stock valued at $11,616,380,000 after buying an additional 19,817,022 shares during the period. Wellington Management Group LLP increased its stake in shares of Charles Schwab by 595.7% during the first quarter. Wellington Management Group LLP now owns 15,488,777 shares of the financial services provider’s stock valued at $1,212,461,000 after buying an additional 13,262,309 shares during the period. Primecap Management Co. CA increased its stake in shares of Charles Schwab by 229.3% during the first quarter. Primecap Management Co. CA now owns 14,002,078 shares of the financial services provider’s stock valued at $1,096,083,000 after buying an additional 9,749,728 shares during the period. Price T Rowe Associates Inc. MD increased its stake in shares of Charles Schwab by 12.3% during the first quarter. Price T Rowe Associates Inc. MD now owns 82,048,984 shares of the financial services provider’s stock valued at $6,422,795,000 after buying an additional 8,954,248 shares during the period. Finally, Nuveen LLC purchased a new position in shares of Charles Schwab during the first quarter valued at approximately $440,699,000. 84.38% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research firms have recently issued reports on SCHW. Truist Financial boosted their target price on Charles Schwab from $107.00 to $112.00 and gave the company a “buy” rating in a research note on Friday, August 15th. Cowen reissued a “buy” rating on shares of Charles Schwab in a research note on Tuesday, May 20th. Citigroup boosted their target price on Charles Schwab from $105.00 to $110.00 and gave the company a “buy” rating in a research note on Monday, July 21st. Redburn Atlantic raised Charles Schwab from a “sell” rating to a “neutral” rating and boosted their target price for the company from $65.00 to $82.00 in a research note on Monday, June 9th. Finally, William Blair cut Charles Schwab from a “strong-buy” rating to a “hold” rating in a research note on Thursday, July 3rd. Sixteen equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $99.60.

Charles Schwab Price Performance

Shares of SCHW stock opened at $93.50 on Friday. The stock has a market cap of $169.72 billion, a price-to-earnings ratio of 25.13, a PEG ratio of 0.93 and a beta of 0.96. The business’s fifty day moving average is $95.41 and its 200 day moving average is $86.76. The Charles Schwab Corporation has a twelve month low of $61.81 and a twelve month high of $99.59. The company has a quick ratio of 0.55, a current ratio of 0.55 and a debt-to-equity ratio of 0.47.

Charles Schwab (NYSE:SCHW) last issued its quarterly earnings results on Friday, July 18th. The financial services provider reported $1.14 earnings per share for the quarter, topping the consensus estimate of $1.10 by $0.04. Charles Schwab had a return on equity of 19.30% and a net margin of 33.68%.The company had revenue of $5.85 billion for the quarter, compared to analysts’ expectations of $5.64 billion. During the same period in the prior year, the firm earned $0.73 earnings per share. The firm’s revenue for the quarter was up 24.8% on a year-over-year basis. Research analysts expect that The Charles Schwab Corporation will post 4.22 EPS for the current fiscal year.

Charles Schwab Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, August 22nd. Shareholders of record on Friday, August 8th were issued a $0.27 dividend. This represents a $1.08 annualized dividend and a yield of 1.2%. The ex-dividend date of this dividend was Friday, August 8th. Charles Schwab’s payout ratio is 29.03%.

Charles Schwab announced that its board has approved a stock buyback program on Thursday, July 24th that authorizes the company to repurchase $20.00 billion in outstanding shares. This repurchase authorization authorizes the financial services provider to repurchase up to 11.6% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s management believes its stock is undervalued.

Insiders Place Their Bets

In other Charles Schwab news, General Counsel Peter J. Morgan III sold 50,016 shares of the business’s stock in a transaction on Wednesday, August 27th. The stock was sold at an average price of $97.00, for a total value of $4,851,552.00. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Jonathan S. Beatty sold 6,144 shares of the business’s stock in a transaction on Thursday, August 28th. The stock was sold at an average price of $96.81, for a total value of $594,800.64. Following the completion of the sale, the insider directly owned 11,923 shares in the company, valued at $1,154,265.63. This trade represents a 34.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 298,214 shares of company stock valued at $29,022,580. Company insiders own 6.30% of the company’s stock.

Charles Schwab Company Profile

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.