Charles Schwab Stock Rating Reaffirmed by Zacks (SCHW)
Charles Schwab (NASDAQ: SCHW)‘s stock had its “neutral” rating reaffirmed by Zacks in a report released on Friday. They currently have a $18.50 target price on the stock.
Zacks‘ analyst wrote, “Schwab’s fourth-quarter earnings matched the Zacks Consensus Estimate. Growth in net revenue, lower provision for loan losses and balance sheet restructuring actions were the positives for the quarter. However, higher operating expenses as well as a fall in trading revenue dented the results. While focusing on low-cost capital structure will help improve results in the upcoming quarters, the company’s financials will continue to be negatively impacted by lower trading activities, weak equity markets and reduced interest rate yields. Moreover, we remain concerned about the company’s low capital intensity relative to its peers. Yet, we believe synergies from the acquisitions and a stable capital position will enrich the company’s financials to some extent.”
Charles Schwab traded up 0.46% on Friday, hitting $17.66. Charles Schwab has a 1-year low of $11.64 and a 1-year high of $17.75. The stock’s 50-day moving average is currently $16.51. The company has a market cap of $22.569 billion and a price-to-earnings ratio of 25.48.
Charles Schwab last announced its earnings results on Wednesday, January 16th. The company reported $0.15 earnings per share for the quarter, meeting the analysts’ consensus estimate of $0.15. The company had revenue of $1.22 billion for the quarter, compared to the consensus estimate of $1.21 billion. During the same quarter in the prior year, the company posted $0.13 earnings per share. The company’s quarterly revenue was up 9.2% on a year-over-year basis. Analysts expect that Charles Schwab will post $0.74 EPS for the current fiscal year.
SCHW has been the subject of a number of other recent research reports. Analysts at Sanford C. Bernstein upgraded shares of Charles Schwab from a “market perform” rating to an “outperform” rating in a research note to investors on Monday. They now have a $23.00 price target on the stock. Separately, analysts at TheStreet upgraded shares of Charles Schwab from a “hold” rating to a “buy” rating in a research note to investors on Wednesday, February 27th. Finally, analysts at Bank of America initiated coverage on shares of Charles Schwab in a research note to investors on Thursday, February 14th. They set a “neutral” rating on the stock.
Five analysts have rated the stock with a buy rating, three have assigned an overweight rating, fourteen have issued a hold rating, and three have given a sell rating to the company. Charles Schwab has a consensus rating of “hold” and an average price target of $16.58.
The Charles Schwab Corporation (CSC) is a savings and loan holding company. The Company engages, through its subsidiaries, in securities brokerage, banking, and related financial services.
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