Providing a diverse range of perspectives from bullish to bearish, 16 analysts have published ratings on Charles Schwab (NYSE:SCHW) in the last three months.
The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 4 | 9 | 1 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 1 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 3 | 5 | 1 | 0 |
| 3M Ago | 1 | 0 | 4 | 0 | 0 |
The 12-month price targets, analyzed by analysts, offer insights with an average target of $75.0, a high estimate of $95.00, and a low estimate of $61.00. This current average reflects an increase of 3.59% from the previous average price target of $72.40.
Breaking Down Analyst Ratings: A Detailed Examination
A clear picture of Charles Schwab's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Benjamin Budish | Barclays | Raises | Overweight | $95.00 | $74.00 |
| Brian Bedell | Deutsche Bank | Raises | Buy | $80.00 | $77.00 |
| Michael Cyprys | Morgan Stanley | Raises | Equal-Weight | $74.00 | $68.00 |
| Benjamin Budish | Barclays | Raises | Equal-Weight | $74.00 | $64.00 |
| Craig Siegenthaler | B of A Securities | Lowers | Underperform | $61.00 | $63.00 |
| Kenneth Worthington | JP Morgan | Raises | Overweight | $87.00 | $86.00 |
| Michael Brown | Wells Fargo | Raises | Equal-Weight | $75.00 | $70.00 |
| Patrick Moley | Piper Sandler | Raises | Neutral | $65.00 | $64.00 |
| Alexander Blostein | Goldman Sachs | Raises | Neutral | $74.00 | $67.00 |
| Kyle Voigt | Keefe, Bruyette & Woods | Raises | Outperform | $81.00 | $76.00 |
| Devin Ryan | JMP Securities | Raises | Market Outperform | $84.00 | $82.00 |
| Michael Cyprys | Morgan Stanley | Lowers | Equal-Weight | $68.00 | $70.00 |
| Daniel Fannon | Jefferies | Lowers | Buy | $73.00 | $79.00 |
| Christopher Allen | Citigroup | Lowers | Neutral | $72.00 | $75.00 |
| Alexander Blostein | Goldman Sachs | Lowers | Neutral | $67.00 | $71.00 |
| Michael Brown | Wells Fargo | Announces | Equal-Weight | $70.00 | - |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Charles Schwab. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Charles Schwab compared to the broader market.
- Price Targets: Delving into movements, analysts provide estimates for the future value of Charles Schwab's stock. This analysis reveals shifts in analysts' expectations over time.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Charles Schwab's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on Charles Schwab analyst ratings.
Discovering Charles Schwab: A Closer Look
Charles Schwab operates in brokerage, wealth management, banking, and asset management. It runs a large network of brick-and-mortar brokerage branch offices and a well-established online investing website, and it has mobile trading capabilities. It also operates a bank and a proprietary asset-management business and offers services to independent investment advisors. Schwab is among the largest firms in the investment business, with over $8 trillion of client assets at the end of December 2023. Nearly all of its revenue is from the United States.
Unraveling the Financial Story of Charles Schwab
Market Capitalization Analysis: With a profound presence, the company's market capitalization is above industry averages. This reflects substantial size and strong market recognition.
Positive Revenue Trend: Examining Charles Schwab's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 5.23% as of 30 September, 2024, showcasing a substantial increase in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Financials sector.
Net Margin: Charles Schwab's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 26.8%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Charles Schwab's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 3.57%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Charles Schwab's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.28%, the company may face hurdles in achieving optimal financial returns.
Debt Management: Charles Schwab's debt-to-equity ratio is below the industry average. With a ratio of 1.46, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
How Are Analyst Ratings Determined?
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.
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