$0.65 Earnings Per Share Expected for Charles Schwab Co. (SCHW) This Quarter

Wall Street analysts forecast that Charles Schwab Co. (NYSE:SCHW) will post $0.65 earnings per share (EPS) for the current quarter, Zacks Investment Research reports. Five analysts have provided estimates for Charles Schwab’s earnings. The lowest EPS estimate is $0.61 and the highest is $0.68. Charles Schwab reported earnings of $0.44 per share during the same quarter last year, which would indicate a positive year-over-year growth rate of 47.7%. The business is scheduled to report its next quarterly earnings report on Wednesday, January 16th.

On average, analysts expect that Charles Schwab will report full-year earnings of $2.44 per share for the current fiscal year, with EPS estimates ranging from $2.40 to $2.48. For the next fiscal year, analysts anticipate that the firm will post earnings of $2.88 per share, with EPS estimates ranging from $2.71 to $3.00. Zacks’ EPS calculations are a mean average based on a survey of sell-side analysts that follow Charles Schwab.

Charles Schwab (NYSE:SCHW) last issued its earnings results on Monday, October 15th. The financial services provider reported $0.65 earnings per share for the quarter, meeting the Zacks’ consensus estimate of $0.65. The firm had revenue of $2.58 billion for the quarter, compared to the consensus estimate of $2.58 billion. Charles Schwab had a return on equity of 19.02% and a net margin of 32.65%. The company’s revenue was up 19.1% compared to the same quarter last year. During the same quarter last year, the business posted $0.42 EPS.

Several equities research analysts recently weighed in on the company. Morgan Stanley reissued an “overweight” rating on shares of Charles Schwab in a report on Thursday, November 15th. Barclays cut their price objective on Charles Schwab from $65.00 to $57.00 and set an “overweight” rating on the stock in a report on Monday, October 22nd. Zacks Investment Research raised Charles Schwab from a “hold” rating to a “buy” rating and set a $55.00 price objective on the stock in a report on Wednesday, October 3rd. Wolfe Research assumed coverage on Charles Schwab in a report on Tuesday, September 25th. They set an “underperform” rating on the stock. Finally, Goldman Sachs Group assumed coverage on Charles Schwab in a report on Friday. They set a “buy” rating and a $55.00 price objective on the stock. One research analyst has rated the stock with a sell rating, eight have given a hold rating and ten have issued a buy rating to the stock. The company currently has a consensus rating of “Hold” and an average price target of $56.94.

Shares of NYSE SCHW traded down $2.45 during mid-day trading on Tuesday, hitting $43.01. 11,864,700 shares of the stock traded hands, compared to its average volume of 6,908,561. The company has a quick ratio of 0.29, a current ratio of 0.29 and a debt-to-equity ratio of 0.32. Charles Schwab has a twelve month low of $42.01 and a twelve month high of $60.22. The company has a market cap of $60.50 billion, a price-to-earnings ratio of 26.23, a price-to-earnings-growth ratio of 1.12 and a beta of 1.45.

Charles Schwab declared that its board has authorized a stock buyback program on Thursday, October 25th that allows the company to repurchase $1.00 billion in shares. This repurchase authorization allows the financial services provider to purchase up to 1.7% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s management believes its stock is undervalued.

The firm also recently disclosed a quarterly dividend, which was paid on Friday, November 23rd. Stockholders of record on Friday, November 9th were given a $0.13 dividend. This represents a $0.52 annualized dividend and a dividend yield of 1.21%. The ex-dividend date of this dividend was Thursday, November 8th. Charles Schwab’s dividend payout ratio (DPR) is presently 31.71%.

In other news, EVP Jonathan M. Craig sold 2,629 shares of the business’s stock in a transaction that occurred on Monday, October 15th. The stock was sold at an average price of $48.84, for a total value of $128,400.36. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Marie A. Chandoha sold 8,424 shares of the business’s stock in a transaction that occurred on Tuesday, October 16th. The stock was sold at an average price of $48.01, for a total value of $404,436.24. The disclosure for this sale can be found here. Insiders sold a total of 406,453 shares of company stock valued at $19,107,379 over the last ninety days. 11.50% of the stock is currently owned by corporate insiders.

A number of institutional investors have recently bought and sold shares of SCHW. Cornerstone Wealth Management LLC bought a new position in shares of Charles Schwab in the second quarter worth $1,822,000. Janney Montgomery Scott LLC boosted its position in Charles Schwab by 5.4% during the second quarter. Janney Montgomery Scott LLC now owns 61,305 shares of the financial services provider’s stock valued at $3,133,000 after buying an additional 3,148 shares during the period. Kaizen Advisory LLC boosted its position in Charles Schwab by 157.6% during the second quarter. Kaizen Advisory LLC now owns 2,980 shares of the financial services provider’s stock valued at $152,000 after buying an additional 1,823 shares during the period. Pinnacle Financial Partners Inc. boosted its position in Charles Schwab by 35.8% during the second quarter. Pinnacle Financial Partners Inc. now owns 7,709 shares of the financial services provider’s stock valued at $394,000 after buying an additional 2,031 shares during the period. Finally, Atlas Capital Advisors LLC purchased a new stake in Charles Schwab during the second quarter valued at about $732,000. Institutional investors and hedge funds own 79.51% of the company’s stock.

Charles Schwab Company Profile

The Charles Schwab Corporation, through its subsidiaries, provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services. The company operates through two segments, Investor Services and Advisor Services. The Investor Services segment provides retail brokerage and banking services, retirement plan services, and other corporate brokerage services; equity compensation plan sponsors full-service recordkeeping for stock plans, stock options, restricted stock, performance shares, and stock appreciation rights; and retail investor, retirement plan, and mutual fund clearing services.

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