SCHW Stock Analysis: Charles Schwab | NYSE
Capital Markets | NYSE, USA | Market Cap: 190.331m USD | 12M Return: 17% | US8085131055 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 780M
EPS Trend: 87.3%
Qual. Beats: 2
Rev. Trend: 87.9%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
The Charles Schwab Corporation is a U.S.-headquartered savings and loan holding company that provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services to retail and institutional clients, both domestically and internationally. Founded in 1971 and based in Westlake, Texas, the company operates in two segments-Investor Services and Advisor Services-serving clients through branch offices as well as digital and software-based trading platforms.
Its product set spans brokerage and trading (equities, fixed income, options, futures, forex, margin lending, ETFs, and third-party mutual funds through the Mutual Fund Marketplace and OneSource), advisory solutions (managed portfolios, separately managed accounts, and tailored financial planning), and a banking platform that includes checking, savings, CDs, residential mortgages, home equity lines of credit, and pledged asset lines. Schwab also offers trust and custody services, equity compensation plan recordkeeping, retirement plan services, and mutual fund clearing for broker-dealers, along with interactive tools and educational content for financial advisors.
As a large-cap Financials name in the Investment Banking & Brokerage sub-industry, Schwab operates a primarily asset-gathering business model, earning revenue from management and administrative fees on client assets, net interest income on client cash balances and margin lending, and trading and bank deposit account fees. The companys scale across brokerage, banking, and custody services-combined with a large advisor channel-makes it a major participant in the U.S. retail wealth management and registered investment advisor (RIA) custody markets.
- Net interest margin compresses as Fed cuts rates
- Client assets under management track equity market levels and net new accounts
- Cash sweep deposits face competition from high-yielding money market funds
| Net Income: 10.1b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA 0.33 > 1.0 |
| NWC/Revenue: 679.4% < 20% (prev -719.2%; Δ 1.40k% < -1%) |
| CFO/TA 0.01 > 3% & CFO 4.33b > Net Income 10.1b |
| Net Debt (-36.5b) to EBITDA (14.4b): -2.53 < 3 |
| Current Ratio: 15.17 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.74b) vs 12m ago -4.56% < -2% |
| Gross Margin: 86.67% > 18% (prev 81.09%; Δ 5.58% > 0.5%) |
| Asset Turnover: 6.15% > 50% (prev 5.81%; Δ 0.34% > 0%) |
| Interest Coverage Ratio: 4.12 > 6 (EBIT TTM 13.1b / Interest Expense TTM 3.17b) |
| A: 0.39 (Total Current Assets 218b - Total Current Liabilities 14.4b) / Total Assets 517b |
| B: 0.09 (Retained Earnings 46.5b / Total Assets 517b) |
| C: 0.03 (EBIT TTM 13.1b / Avg Total Assets 488b) |
| D: 0.11 (Book Value of Equity 49.9b / Total Liabilities 467b) |
| Altman-Z'' = 3.17 = A |
| DSRI: 1.48 (Receivables 145b/87.1b, Revenue 30.0b/26.7b) |
| GMI: 0.94 (GM 81.09% / 86.67%) |
| AQI: 0.98 (AQ_t 0.57 / AQ_t-1 0.59) |
| SGI: 1.13 (Revenue 30.0b / 26.7b) |
| TATA: 0.01 (NI 10.1b - CFO 4.33b) / TA 517b) |
| Beneish M = -2.61 (Cap -4..+1) = A |
As of August 17, 2026, the stock is trading at USD 111.09 with a total of 4,778,385 shares traded. Over the past week, the price has changed by +3.54%, over one month by +8.38%, over three months by +20.59% and over the past year by +16.99%.
Current recommended Stop Loss: 108.40 (which is 2.4% or 1.3 ATR below the current price).
Charles Schwab has received a consensus analysts rating of 4.14. Therefore, it is recommended to buy SCHW.
- StrongBuy: 10
- Buy: 7
- Hold: 2
- Sell: 1
- StrongSell: 1
| Analysts Target Price | 125 | 12.5% |
P/E Trailing = 20.0474
P/E Forward = 16.6113
P/S = 7.3134
P/B = 4.2507
P/EG = 1.0859
Revenue TTM = 30.0b USD
EBIT TTM = 13.1b USD
EBITDA TTM = 14.4b USD
Long Term Debt = 22.9b USD (from longTermDebt, last quarter)
Short Term Debt = 14.4b USD (from shortTermDebt, last quarter)
Debt = 37.1b USD (from shortLongTermDebtTotal, last quarter) + Leases 23.0m
Net Debt = -36.5b USD (calculated: Debt 37.1b - CCE 73.6b)
Enterprise Value = 154b USD (190b + Debt 37.1b - CCE 73.6b)
Interest Coverage Ratio = 4.12 (Ebit TTM 13.1b / Interest Expense TTM 3.17b)
EV/FCF = 13.78x (Enterprise Value 154b / FCF TTM 11.2b)
FCF Yield = 7.25% (FCF TTM 11.2b / Enterprise Value 154b)
FCF Margin = 37.17% (FCF TTM 11.2b / Revenue TTM 30.0b)
Net Margin = 33.62% (Net Income TTM 10.1b / Revenue TTM 30.0b)
Gross Margin = 86.67% ((Revenue TTM 30.0b - Cost of Revenue TTM 4.00b) / Revenue TTM)
Gross Margin QoQ = 83.02% (prev 88.79%)
Tobins Q-Ratio = 0.30 (Enterprise Value 154b / Total Assets 517b)
Interest Expense / Debt = 8.54% (Interest Expense 3.17b / Debt 37.1b)
Taxrate = 22.68% (2.96b / 13.1b)
NOPAT = 10.1b (EBIT 13.1b * (1 - 22.68%))
Current Ratio = 1.20 (Total Current Assets 218b / Total Current Liabilities 182b)
Debt / Equity = 0.74 (Debt 37.1b / totalStockholderEquity, last quarter 49.9b)
Debt / EBITDA = -2.53 (Net Debt -36.5b / EBITDA 14.4b)
Debt / FCF = -3.27 (Net Debt -36.5b / FCF TTM 11.2b)
Total Stockholder Equity = 49.5b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.07% (Net Income 10.1b / Total Assets 517b)
RoE = 20.40% (Net Income TTM 10.1b / Total Stockholder Equity 49.5b)
RoCE = 18.05% (EBIT 13.1b / Capital Employed (Equity 49.5b + L.T.Debt 22.9b))
RoIC = 1.96% (NOPAT 10.1b / Invested Capital 516b)
WACC = 8.28% (E(190b)/V(227b) * Re(8.61%) + D(37.1b)/V(227b) * Rd(8.54%) * (1-Tc(0.23)))
Discount Rate = 8.61% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -89.01 | Cagr: -2.27%
[DCF] Terminal Value 77.97% ; FCFF base≈10.1b ; Y1≈11.5b ; Y5≈17.0b
[DCF] Fair Price = 168.7 (EV 255b - Net Debt -36.5b = Equity 292b / Shares 1.73b; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 87.25 | EPS CAGR: 26.48% | SUE: 2.85 | # QB: 2
Revenue Correlation: 87.91 | Revenue CAGR: 7.99% | SUE: 0.82 | # QB: 0
EPS current Quarter (2026-09-30): EPS=1.67 | Chg30d=+5.72% | Revisions=+74% | Analysts=18
EPS current Year (2026-12-31): EPS=6.49 | Chg30d=+5.07% | Revisions=+86% | GrowthEPS=+33.2% | GrowthRev=+18.1%
EPS next Year (2027-12-31): EPS=7.80 | Chg30d=+6.84% | Revisions=+87% | GrowthEPS=+20.2% | GrowthRev=+11.7%
[Analyst] Revisions Ratio: +91% (up=53, down=1)