(SCHW) Charles Schwab - Overview
Stock: Brokerage, Banking, Advisory, Custody, Retirement
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 1.23% |
| Yield on Cost 5y | 2.16% |
| Yield CAGR 5y | 10.67% |
| Payout Consistency | 95.3% |
| Payout Ratio | 18.8% |
| Risk 5d forecast | |
|---|---|
| Volatility | 25.1% |
| Relative Tail Risk | -12.2% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.90 |
| Alpha | 13.69 |
| Character TTM | |
|---|---|
| Beta | 0.850 |
| Beta Downside | 1.007 |
| Drawdowns 3y | |
|---|---|
| Max DD | 41.47% |
| CAGR/Max DD | 0.27 |
Description: SCHW Charles Schwab January 26, 2026
The Charles Schwab Corporation (NYSE: SCHW) is a diversified financial-services holding company that operates two primary segments-Investor Services and Advisor Services-offering brokerage, banking, asset-management, custody, and advisory solutions to retail and institutional clients in the United States and abroad.
Its product suite spans equity and fixed-income trading, margin and options lending, futures/forex, cash-management tools (including CDs), a broad mutual-fund marketplace, ETFs, managed-portfolio advisory, customized SMAs, mortgage and home-equity loans, and full-service trust and custody functions. All services are delivered through a network of branch offices and integrated digital platforms (web, mobile, and desktop) that provide real-time market data, research, and self-service education tools.
Recent data from Schwab’s Q4 2025 earnings release show net revenue of **$5.3 billion**, up 4.1 % YoY, driven by a **3.2 % net interest margin** on a growing loan book and a **$45 billion net inflow of assets** across brokerage and advisory accounts, bringing total assets under administration to **$7.2 trillion**. The firm’s **efficiency ratio fell to 61 %**, reflecting continued cost-discipline as it expands its digital footprint.
Key macro and sector drivers affecting Schwab include: (1) the **Federal Reserve’s higher-for-longer rate policy**, which lifts net interest income but can suppress equity-market trading volumes; (2) **persistent fee compression and competition from low-cost fintech entrants**, pressuring brokerage margins; and (3) **accelerating client migration to digital channels**, prompting ongoing investment in platform scalability and data analytics.
For a deeper, data-rich assessment of Schwab’s valuation dynamics, consider exploring the company’s profile on ValueRay.
Piotroski VR‑10 (Strict, 0-10) 4.5
| Net Income: 8.85b TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.37 > 0.02 and ΔFCF/TA -43.63 > 1.0 |
| NWC/Revenue: 2.10% < 20% (prev -697.4%; Δ 699.5% < -1%) |
| CFO/TA -0.20 > 3% & CFO -753.0m > Net Income 8.85b |
| Net Debt (-13.0m) to EBITDA (12.82b): -0.00 < 3 |
| Current Ratio: 9.29 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.78b) vs 12m ago -3.21% < -2% |
| Gross Margin: 89.11% > 18% (prev 0.75%; Δ 8836 % > 0.5%) |
| Asset Turnover: 11.10% > 50% (prev 5.42%; Δ 5.68% > 0%) |
| Interest Coverage Ratio: 3.05 > 6 (EBITDA TTM 12.82b / Interest Expense TTM 3.75b) |
Altman Z'' 10.00
| A: 0.15 (Total Current Assets 632.0m - Total Current Liabilities 68.0m) / Total Assets 3.80b |
| B: 11.09 (Retained Earnings 42.17b / Total Assets 3.80b) |
| C: 0.05 (EBIT TTM 11.46b / Avg Total Assets 241.82b) |
| D: 3.97 (Book Value of Equity 3.04b / Total Liabilities 765.0m) |
| Altman-Z'' Score: 41.61 = AAA |
What is the price of SCHW shares?
Over the past week, the price has changed by +1.70%, over one month by +3.35%, over three months by +10.39% and over the past year by +25.83%.
Is SCHW a buy, sell or hold?
- StrongBuy: 10
- Buy: 7
- Hold: 2
- Sell: 1
- StrongSell: 1
What are the forecasts/targets for the SCHW price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 120.9 | 16.4% |
| Analysts Target Price | 120.9 | 16.4% |
| ValueRay Target Price | 113.6 | 9.4% |
SCHW Fundamental Data Overview January 31, 2026
P/E Forward = 17.762
P/S = 7.8517
P/B = 4.3138
P/EG = 1.224
Revenue TTM = 26.84b USD
EBIT TTM = 11.46b USD
EBITDA TTM = 12.82b USD
Long Term Debt = 20.16b USD (from longTermDebt, two quarters ago)
Short Term Debt = 68.0m USD (from shortTermDebt, last quarter)
Debt = 279.0m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -13.0m USD (from netDebt column, last quarter)
Enterprise Value = 187.47b USD (187.82b + Debt 279.0m - CCE 632.0m)
Interest Coverage Ratio = 3.05 (Ebit TTM 11.46b / Interest Expense TTM 3.75b)
EV/FCF = -134.2x (Enterprise Value 187.47b / FCF TTM -1.40b)
FCF Yield = -0.75% (FCF TTM -1.40b / Enterprise Value 187.47b)
FCF Margin = -5.20% (FCF TTM -1.40b / Revenue TTM 26.84b)
Net Margin = 32.98% (Net Income TTM 8.85b / Revenue TTM 26.84b)
Gross Margin = 89.11% ((Revenue TTM 26.84b - Cost of Revenue TTM 2.92b) / Revenue TTM)
Gross Margin QoQ = 100.0% (prev 87.13%)
Tobins Q-Ratio = 49.29 (Enterprise Value 187.47b / Total Assets 3.80b)
Interest Expense / Debt = 298.2% (Interest Expense 832.0m / Debt 279.0m)
Taxrate = 22.67% (721.0m / 3.18b)
NOPAT = 8.86b (EBIT 11.46b * (1 - 22.67%))
Current Ratio = 9.29 (Total Current Assets 632.0m / Total Current Liabilities 68.0m)
Debt / Equity = 0.09 (Debt 279.0m / totalStockholderEquity, last quarter 3.04b)
Debt / EBITDA = -0.00 (Net Debt -13.0m / EBITDA 12.82b)
Debt / FCF = 0.01 (negative FCF - burning cash) (Net Debt -13.0m / FCF TTM -1.40b)
Total Stockholder Equity = 37.85b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.66% (Net Income 8.85b / Total Assets 3.80b)
RoE = 23.39% (Net Income TTM 8.85b / Total Stockholder Equity 37.85b)
RoCE = 19.75% (EBIT 11.46b / Capital Employed (Equity 37.85b + L.T.Debt 20.16b))
RoIC = 11.52% (NOPAT 8.86b / Invested Capital 76.88b)
WACC = 9.04% (E(187.82b)/V(188.10b) * Re(9.05%) + (debt cost/tax rate unavailable))
Discount Rate = 9.05% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -1.40%
Fair Price DCF = unknown (Cash Flow -1.40b)
EPS Correlation: 39.67 | EPS CAGR: 17.06% | SUE: 0.0 | # QB: 0
Revenue Correlation: 58.05 | Revenue CAGR: 7.64% | SUE: 1.25 | # QB: 1
EPS next Quarter (2026-03-31): EPS=1.34 | Chg30d=+0.045 | Revisions Net=+12 | Analysts=17
EPS current Year (2026-12-31): EPS=5.86 | Chg30d=+0.253 | Revisions Net=+16 | Growth EPS=+20.4% | Growth Revenue=+10.6%
EPS next Year (2027-12-31): EPS=6.85 | Chg30d=+0.251 | Revisions Net=+11 | Growth EPS=+16.8% | Growth Revenue=+9.2%