Charles Schwab (NYSE:SCHW) Posts Earnings Results, Beats Expectations By $0.11 EPS

Charles Schwab (NYSE:SCHW) released its earnings results on Tuesday. The financial services provider reported $1.01 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.90 by $0.11, Briefing.com reports. Charles Schwab had a net margin of 27.47% and a return on equity of 16.92%. The company had revenue of $5.33 billion for the quarter, compared to the consensus estimate of $5,190,822.51 billion. During the same period in the prior year, the company posted $0.68 EPS. The company’s revenue was up 19.5% compared to the same quarter last year.

Charles Schwab Stock Up 7.7 %

Shares of SCHW traded up $5.87 during mid-day trading on Tuesday, hitting $82.28. 3,278,582 shares of the company’s stock were exchanged, compared to its average volume of 7,842,554. The company has a 50-day simple moving average of $77.65 and a 200 day simple moving average of $70.62. The company has a debt-to-equity ratio of 0.59, a current ratio of 0.47 and a quick ratio of 0.47. The company has a market cap of $146.43 billion, a PE ratio of 32.05, a P/E/G ratio of 1.41 and a beta of 0.99. Charles Schwab has a 52 week low of $61.01 and a 52 week high of $83.35.

Charles Schwab Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, November 22nd. Shareholders of record on Friday, November 8th were given a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 1.22%. The ex-dividend date was Friday, November 8th. Charles Schwab’s dividend payout ratio (DPR) is currently 39.06%.

Insider Buying and Selling

In other Charles Schwab news, insider Jonathan S. Beatty sold 2,500 shares of the business’s stock in a transaction that occurred on Monday, November 11th. The stock was sold at an average price of $77.02, for a total transaction of $192,550.00. Following the transaction, the insider now owns 18,069 shares of the company’s stock, valued at $1,391,674.38. The trade was a 12.15 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Nigel J. Murtagh sold 12,739 shares of the stock in a transaction that occurred on Friday, November 22nd. The shares were sold at an average price of $81.17, for a total value of $1,034,024.63. Following the completion of the sale, the insider now directly owns 59,092 shares of the company’s stock, valued at approximately $4,796,497.64. The trade was a 17.73 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 26,823 shares of company stock worth $2,171,194. 6.60% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

A number of analysts have commented on the stock. Truist Financial raised shares of Charles Schwab to a “strong-buy” rating in a report on Monday, January 6th. Redburn Partners decreased their price objective on Charles Schwab from $70.00 to $68.00 and set a “sell” rating for the company in a research note on Friday. Cowen increased their target price on Charles Schwab from $69.00 to $75.00 and gave the company a “hold” rating in a research note on Tuesday, October 15th. Wells Fargo & Company decreased their target price on Charles Schwab from $90.00 to $89.00 and set an “equal weight” rating for the company in a research report on Tuesday, January 14th. Finally, Piper Sandler increased their price target on shares of Charles Schwab from $65.00 to $70.00 and gave the company a “neutral” rating in a research report on Tuesday, January 7th. Two investment analysts have rated the stock with a sell rating, eight have issued a hold rating, seven have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $81.41.

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.