Charles Schwab selloff last week overdone, says Piper Sandler

Piper Sandler analyst Richard Repetto understands the balance sheet risks at play for Charles Schwab but says the company has experienced client cash sorting since Q2 of 2022, has access to between $150B and $200B of available liquidity, and can use this liquidity to meet client deposit withdrawal requests without needing to sell securities. While regulatory risk is unclear, last week’s selloff in Schwab shares was overdone and could present an attractive entry point "into one of the strongest brands in financial services," the analyst tells investors in a research note. The firm keeps an Overweight rating on the name with a $100 price target.