Mitsubishi UFJ Asset Management UK Ltd. Invests in Charles Schwab

Mitsubishi UFJ Asset Management UK Ltd. recently acquired a new stake in The Charles Schwab Company (NYSE:SCHW) during the fourth quarter, as revealed by its latest Form 13F file with the Securities and Exchange Commission (SEC). The institutional investor bought 10,000 shares of the financial services firm, which amounted to an investment of about $740,000.

Recent Hedge Fund Activity

Other hedge funds have also made recent modifications to their positions in SCHW. For instance, Washington Trust Advisors Inc. increased its stake in Charles Schwab by 62.6% during the third quarter. They currently own 387 shares of the company, a total existence worth approximately $25,000 after acquiring an additional 149 shares in the last quarter. Similarly, Capital Performance Advisors LLP and Prospera Private Wealth LLC have each made new investments, valued at about $25,000 and $31,000, respectively. Future Financial Wealth Management LLC and Hazlett Burt & Watson Inc. also bought new stakes worth $32,000 and $33,000, respectively. Altogether, approximately 84.38% of the stock is owned by various hedge funds and institutional investors.

Charles Schwab Stock Performance

The shares of Charles Schwab (SCHW) opened at $80.88 on a Wednesday. The company's market capitalization stands at $143.93 billion, with a price-to-earnings (P/E) ratio of 31.59 and a price-to-earnings growth (PEG) ratio of 1.40. Its beta is 0.99, indicating a moderate level of volatility. The firm's 50-day simple moving average is $77.65, while the 200-day simple moving average is at $70.62. Over the past year, Charles Schwab has recorded a low of $61.01 and a high of $83.35. The company also has a debt-to-equity ratio of 0.59, with both current and quick ratios standing at 0.47.

Recent Earnings Reports

Charles Schwab released its quarterly earnings results on January 21st, where it reported an earnings per share (EPS) of $1.01, exceeding analysts' expectations of $0.90. The company achieved a return on equity of 16.92%, with a net margin of 27.47%. The total revenue for the quarter was $5.33 billion, surpassing analyst estimates of $5.19 billion. This represented a 19.5% increase in revenue compared to the same quarter the previous year. Economists anticipate that Charles Schwab will report an EPS of 3.16 for the ongoing year.

Insider Trading Activity

In related news, insider Jonathan S. Beatty sold 2,500 shares of the company's stock on November 11th for an average price of $77.02, totaling approximately $192,550. Following this transaction, Beatty's ownership stake decreased by 12.15%, leaving him with 18,069 shares valued at $1,391,674.38. Another insider, Nigel J. Murtagh, sold 12,739 shares on November 22nd, receiving an average price of $81.17 for a total value of about $1,034,024.63. After this sale, Murtagh retained 59,092 shares, which are worth approximately $4,796,497.64, reflecting a drop of 17.73% in his holdings. Over the last three months, insiders have sold a total of 26,823 shares valued at $2,171,194. Company insiders currently own around 6.60% of the stock.

Analyst Price Targets

Recent comments from analysts have shown varied opinions on Charles Schwab stock. Citigroup reduced its price target from $85.00 to $80.00 while maintaining a "neutral" rating on it. Morgan Stanley raised its price target from $74.00 to $84.00 and also gave a rating of "equal weight." Other firms, such as The Goldman Sachs Group, and Barclays have also adjusted their price targets, reflecting mixed signals. Currently, consensus ratings on Charles Schwab's stock include two sell ratings, eight hold ratings, seven buy ratings, and one strong buy rating. The overall average rating stands at "Hold" with a target price of approximately $81.41.

Overview of Charles Schwab

The Charles Schwab Corporation operates as a savings and loan holding company that offers a variety of financial services, including wealth management, securities brokerage, banking, asset management, custody, and advisory services both in the U.S. and internationally. The company is separated into two segments: Investor Services and Advisor Services.

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