Lakewood Capital Management LP Makes New Investment in The Charles Schwab Corporation $SCHW

Lakewood Capital Management LP purchased a new position in The Charles Schwab Corporation (NYSE:SCHW) in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 134,000 shares of the financial services provider’s stock, valued at approximately $30,390,000. Charles Schwab makes up about 1.6% of Lakewood Capital Management LP’s portfolio, making the stock its 25th largest holding.

A number of other large investors have also modified their holdings of SCHW. Dogwood Wealth Management LLC increased its holdings in shares of Charles Schwab by 99.2% in the 4th quarter. Dogwood Wealth Management LLC now owns 247 shares of the financial services provider’s stock valued at $25,000 after acquiring an additional 123 shares during the last quarter. Compass Financial Management LLC purchased a new stake in Charles Schwab during the second quarter worth approximately $27,000. Scarborough Advisors LLC purchased a new stake in Charles Schwab during the first quarter worth approximately $29,000. McIlrath & Eck LLC boosted its holdings in Charles Schwab by 143.2% in the fourth quarter. McIlrath & Eck LLC now owns 321 shares of the financial services provider’s stock valued at $32,000 after purchasing an additional 189 shares in the last quarter. Finally, Main Street Group LTD acquired a new position in Charles Schwab in the first quarter valued at approximately $33,000. Hedge funds and other institutional investors own 84.38% of the company’s stock.

Analyst Upgrades and Downgrades

SCHW has been the topic of a number of research analyst reports. TD Cowen raised their price objective on shares of Charles Schwab from $108.00 to $109.00 and gave the stock a “buy” rating in a report on Friday, May 15th. Wolfe Research restated an “outperform” rating and set a $127.00 price objective on shares of Charles Schwab in a research report on Tuesday, July 21st. Piper Sandler set a $118.00 target price on shares of Charles Schwab in a report on Tuesday, July 21st. Argus increased their target price on shares of Charles Schwab from $108.00 to $114.00 and gave the company a “buy” rating in a research report on Thursday, July 23rd. Finally, Raymond James Financial reiterated an “outperform” rating and set a $145.00 price target on shares of Charles Schwab in a research note on Wednesday, July 22nd. Two research analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $121.17.

Insider Activity at Charles Schwab

In other Charles Schwab news, insider Nigel J. Murtagh sold 32,947 shares of the firm’s stock in a transaction on Monday, July 27th. The stock was sold at an average price of $104.01, for a total transaction of $3,426,817.47. Following the completion of the transaction, the insider owned 57,972 shares of the company’s stock, valued at approximately $6,029,667.72. This trade represents a 36.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Dennis Howard sold 28,000 shares of the business’s stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $105.01, for a total value of $2,940,280.00. Following the completion of the transaction, the insider directly owned 10,470 shares of the company’s stock, valued at approximately $1,099,454.70. This trade represents a 72.78% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 398,984 shares of company stock valued at $41,699,569 in the last ninety days. 6.30% of the stock is owned by insiders.

Charles Schwab Stock Performance

Shares of SCHW stock opened at $113.63 on Tuesday. The company has a market cap of $196.51 billion, a price-to-earnings ratio of 20.66, a price-to-earnings-growth ratio of 0.84 and a beta of 0.76. The stock has a 50 day simple moving average of $102.05 and a 200-day simple moving average of $96.16. The Charles Schwab Corporation has a 12-month low of $83.96 and a 12-month high of $114.53. The company has a current ratio of 0.64, a quick ratio of 0.64 and a debt-to-equity ratio of 0.52.

Charles Schwab (NYSE:SCHW) last announced its quarterly earnings data on Tuesday, July 21st. The financial services provider reported $1.62 EPS for the quarter, beating the consensus estimate of $1.56 by $0.06. The firm had revenue of $7.07 billion during the quarter, compared to analysts’ expectations of $6.90 billion. Charles Schwab had a net margin of 38.79% and a return on equity of 24.53%. The business’s revenue for the quarter was up 20.9% compared to the same quarter last year. During the same quarter last year, the business earned $1.14 earnings per share. On average, equities analysts forecast that The Charles Schwab Corporation will post 6.46 EPS for the current year.

Charles Schwab Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Friday, August 14th will be issued a dividend of $0.32 per share. This represents a $1.28 dividend on an annualized basis and a yield of 1.1%. The ex-dividend date is Friday, August 14th. Charles Schwab’s dividend payout ratio is 23.27%.

Charles Schwab Company Profile

Charles Schwab Corporation (NYSE: SCHW) is a diversified financial services firm that provides brokerage, banking, wealth management and advisory services to individual investors, independent investment advisors and institutional clients. Its primary offerings include retail brokerage accounts, online trading platforms, Schwab-branded mutual funds and exchange-traded funds (ETFs), retirement plan services, custodial services for independent Registered Investment Advisors (RIAs), and banking products through Charles Schwab Bank.