Charles Schwab Co. (SCHW) to Post Q1 2019 Earnings of $0.70 Per Share, William Blair Forecasts

Charles Schwab Co. (NYSE:SCHW) – Stock analysts at William Blair upped their Q1 2019 earnings per share (EPS) estimates for Charles Schwab in a report released on Wednesday, January 16th. William Blair analyst C. Shutler now expects that the financial services provider will post earnings of $0.70 per share for the quarter, up from their prior forecast of $0.68. William Blair also issued estimates for Charles Schwab’s Q2 2019 earnings at $0.70 EPS, Q4 2019 earnings at $0.75 EPS, FY2019 earnings at $2.89 EPS, Q3 2020 earnings at $0.78 EPS and Q4 2020 earnings at $0.81 EPS.

Charles Schwab (NYSE:SCHW) last announced its quarterly earnings data on Wednesday, January 16th. The financial services provider reported $0.65 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.64 by $0.01. Charles Schwab had a return on equity of 20.28% and a net margin of 34.61%. The business had revenue of $2.67 billion during the quarter, compared to analyst estimates of $2.64 billion. During the same period last year, the company earned $0.44 earnings per share. Charles Schwab’s quarterly revenue was up 19.0% compared to the same quarter last year.

SCHW has been the subject of several other reports. Morgan Stanley cut their price objective on Charles Schwab from $66.00 to $60.00 and set a “buy” rating for the company in a report on Wednesday, November 14th. Zacks Investment Research lowered Charles Schwab from a “hold” rating to a “sell” rating in a report on Monday, January 14th. UBS Group lowered Charles Schwab from a “buy” rating to a “neutral” rating in a report on Monday, November 19th. Deutsche Bank upgraded Charles Schwab from a “hold” rating to a “buy” rating and increased their price objective for the stock from $52.00 to $54.00 in a report on Tuesday, October 30th. Finally, Raymond James upgraded Charles Schwab from a “market perform” rating to an “outperform” rating and set a $54.00 price objective for the company in a report on Tuesday, October 30th. They noted that the move was a valuation call. One equities research analyst has rated the stock with a sell rating, seven have issued a hold rating and nine have issued a buy rating to the stock. Charles Schwab has a consensus rating of “Hold” and an average target price of $53.93.

Shares of NYSE:SCHW opened at $47.98 on Monday. 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 1 year low of $37.83 and a 1 year high of $60.22. The firm has a market cap of $64.79 billion, a P/E ratio of 19.58, a PEG ratio of 1.12 and a beta of 1.35.

Institutional investors have recently bought and sold shares of the business. LFA Lugano Financial Advisors SA acquired a new stake in shares of Charles Schwab in the third quarter valued at about $111,000. Sapphire Star Partners LP acquired a new stake in shares of Charles Schwab in the third quarter valued at about $123,000. Zions Bancorporation acquired a new stake in shares of Charles Schwab in the third quarter valued at about $136,000. Bogart Wealth LLC grew its position in shares of Charles Schwab by 16.1% in the fourth quarter. Bogart Wealth LLC now owns 3,811 shares of the financial services provider’s stock valued at $158,000 after purchasing an additional 528 shares during the last quarter. Finally, Lourd Capital LLC acquired a new stake in shares of Charles Schwab in the third quarter valued at about $201,000. 79.51% of the stock is currently owned by hedge funds and other institutional investors.

In other Charles Schwab news, insider Walter W. Bettinger bought 124,669 shares of the stock in a transaction on Wednesday, December 26th. The shares were purchased at an average cost of $38.81 per share, with a total value of $4,838,403.89. Following the completion of the transaction, the insider now directly owns 335,093 shares of the company’s stock, valued at approximately $13,004,959.33. The purchase was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Marie A. Chandoha sold 12,400 shares of the stock in a transaction on Monday, November 5th. The stock was sold at an average price of $47.18, for a total transaction of $585,032.00. The disclosure for this sale can be found here. Insiders have sold 404,052 shares of company stock worth $18,963,928 over the last three months. Company insiders own 11.50% of the company’s stock.

Charles Schwab announced that its Board of Directors has initiated a stock buyback plan on Thursday, October 25th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the financial services provider to purchase up to 1.7% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s board believes its stock is undervalued.

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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Earnings History and Estimates for Charles Schwab (NYSE:SCHW)

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