William Blair analyst Jeff Schmitt has maintained their bullish stance on SCHW stock, giving a Buy rating yesterday.
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Jeff Schmitt has given his Buy rating due to a combination of factors that highlight Charles Schwab’s strong financial performance and growth potential. The company reported record revenues and earnings, with an adjusted EPS increase of 70% to $1.31, surpassing both consensus and internal estimates. This growth was driven by accelerating spread income, robust client trading activity, and effective share buybacks, which have collectively enhanced the company’s financial standing.
Additionally, Schwab’s organic growth remains impressive, with core net new assets rising by 44% and new brokerage account openings exceeding one million for the fourth consecutive quarter. The company’s strategic initiatives, such as reducing supplemental funding and reinvesting maturing securities, are expected to further support yield acceleration. Furthermore, Schwab’s increased trading revenues and margin balances reflect a growing risk appetite among clients, contributing to the company’s overall positive outlook.
In another report released yesterday, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $103.00 price target.