Charles Schwab's Price Target Raised to $91 by Truist Financial

Charles Schwab (NYSE:SCHW) received an updated price target from Truist Financial, which has increased its estimate from $90.00 to $91.00. This adjustment was noted in a research note released on Tuesday. Truist Financial has rated Schwab’s stock as a "buy," suggesting confidence in the company's performance and future potential. The newly set target implies a possible upside of approximately 9.33% from the stock's latest trading price.

Other Analyst Ratings

Many other financial research firms have shared their insights regarding Schwab's stock as well. For instance, Citigroup raised its target price for Charles Schwab from $80.00 to $85.00 while maintaining a "neutral" rating in a report published on January 22nd. Additionally, Barclays also increased its target, this time from $95.00 to $96.00, giving Schwab an "overweight" rating on the same day. JMP Securities affirmed its "market outperform" rating with a new price target of $94.00, up from an earlier estimate of $84.00 made on December 9th. In contrast, Raymond James decreased its price objective from $76.00 to $73.00 back on October 15th. Morgan Stanley joined the trend by raising its own target from $84.00 to $91.00 with an "equal weight" rating noted on February 6th.

Mixed Analyst Sentiments

The analysis surrounding Charles Schwab reveals a mix of ratings. Two analysts have suggested selling the stock, while seven categorically rate it as a hold. Conversely, nine analysts provide a buy rating, indicating that there is confidence in the potential growth of the company. Based on statistics from MarketBeat, the consensus rating stands at "Hold," accompanied by an average price target of $84.56.

Recent Stock Performance

During mid-day trading on Tuesday, Charles Schwab’s stock price rose by about 2.5%, reaching $83.24. In that trading session, approximately 30,068,984 shares traded hands, surpassing the average trading volume of 9,455,335 shares. The stock has displayed a 50-day simple moving average of $77.99 and a 200-day simple moving average of $71.99. Over the past year, Charles Schwab has seen stock prices range from a low of $61.01 to a high of $84.04. The company currently possesses a market capitalization of $148.13 billion and reported a price-to-earnings (P/E) ratio of 27.82.

Quarterly Earnings Summary

Charles Schwab recently launched its quarterly earnings report on January 21st. It announced earnings per share (EPS) of $1.01 for the quarter, which surpassed analysts' consensus estimate of $0.90 by a notable $0.11. The quarter’s revenue reached $5.33 billion, which was higher than the expected $5.19 billion. Moreover, the financial services provider reported a return on equity of 18.20% and a solid net margin of 30.31%. Notably, revenues grew by 19.5% year-over-year compared to the same quarter from the previous year, during which they had earned $0.68 EPS.

Insider Activity

In regards to insider trading, on November 18th, Director Christopher V. Dodds sold 9,284 shares at an average price of $81.43, totaling about $755,996.12. After this sale, Dodds holds approximately 442,807 shares valued at around $36,057,774. Another insider, Nigel J. Murtagh, sold 12,739 shares on November 22nd at an average price of $81.17, collecting about $1,034,024.63, which brings his remaining shareholdings to 59,092. Detailed disclosures regarding these transactions are filed with the Securities and Exchange Commission.

Institutional Investment Trends

The institutional ownership surrounding Charles Schwab is significant, with various hedge funds recently adjusting their positions. For example, Washington Trust Advisors Inc. increased its holdings by 62.6% in the third quarter. They now own 387 shares valued at around $25,000. Furthermore, several firms including Capital Performance Advisors LLP and Prospera Private Wealth LLC, entered new positions, indicating ongoing institutional interest in Schwab.

Company Overview

The Charles Schwab Corporation operates as a holding company for various financial services. It provides wealth management, asset management, and securities brokerage services within the United States and beyond. Schwab runs its operations through two main segments: Investor Services and Advisor Services.

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