Headquartered in Westlake, Texas, The Charles Schwab Corporation (SCHW) is a leading savings and loan holding company with a market capitalization of $125.2 billion. The firm offers a comprehensive suite of financial services, including wealth management, securities brokerage, banking, asset management, custody, and advisory solutions.
Charles Schwab is slated to report its Q1 earnings on Monday, April 21. Ahead of the event, analysts expect Schwab to report adjusted earnings of $0.98 per share, up 32.4% from $0.74 per share reported in the year-ago quarter. Furthermore, the company has matched or surpassed analysts’ earnings estimates in each of the past four quarters. Its adjusted EPS for the last reported quarter was $1.01, exceeding analysts’ estimates by 12.2%.
For fiscal 2025, analysts anticipate Schwab to report an adjusted EPS of $4.23, up 30.2% from $3.25 in fiscal 2024. Its fiscal 2026 earnings are expected to surge 22.7% year-over-year to $5.19 per share.
SCHW stock has dipped 3.2% over the past 52 weeks, lagging behind the S&P 500 Index’s ($SPX) 1.4% fall and the Financial Select Sector SPDR Fund’s (XLF) 7.3% surge during the same time frame.
Despite the grim price action over the past year, shares of Charles Schwab jumped over 6% on Mar. 14 after the company reported a 44% year-over-year surge in core net new assets to $48 billion in February. Total client assets rose 16% year over year to $10.28 trillion, despite a slight 1% dip from January. Schwab also recorded its 15th straight month of over 300,000 new account openings, adding 362,000 brokerage accounts in February. Trading activity remained strong, with daily average trades up 1% to 7.45 million.
The consensus opinion on SCHW stock is reasonably upbeat, with a “Moderate Buy” rating overall. Among the 22 analysts covering the stock, 14 recommended “Strong Buy,” two advised “Moderate Buy,” three suggested “Hold,” one advocated “Moderate Sell,” and two gave a “Strong Sell” rating. Its mean price target of $90.24 represents a 30.7% premium to current price levels.
