Charles Schwab (NYSE:SCHW) Trading Down 1.1% After Insider Selling

The Charles Schwab Co. (NYSE:SCHW) shares dropped 1.1% during trading on Monday after an insider sold shares in the company. The stock traded as low as $72.03 and last traded at $72.41. Approximately 828,338 shares changed hands during trading, a decline of 89% from the average daily volume of 7,331,212 shares. The stock had previously closed at $73.25.

Specifically, Chairman Charles R. Schwab sold 89,275 shares of Charles Schwab stock in a transaction on Monday, April 22nd. The shares were sold at an average price of $74.62, for a total value of $6,661,700.50. Following the sale, the chairman now directly owns 30,641,981 shares in the company, valued at approximately $2,286,504,622.22. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In related news, insider Bernard J. Clark sold 77,431 shares of the company’s stock in a transaction on Tuesday, May 28th. The shares were sold at an average price of $70.94, for a total transaction of $5,492,955.14. Following the sale, the insider now owns 121,666 shares of the company’s stock, valued at $8,630,986.04. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Chairman Charles R. Schwab sold 89,275 shares of Charles Schwab stock in a transaction on Monday, April 22nd. The stock was sold at an average price of $74.62, for a total transaction of $6,661,700.50. Following the completion of the transaction, the chairman now directly owns 30,641,981 shares of the company’s stock, valued at $2,286,504,622.22. The disclosure for this sale can be found here. Insiders have sold a total of 663,640 shares of company stock worth $49,331,005 over the last quarter. Insiders own 6.60% of the company’s stock.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on the company. Barclays boosted their price objective on Charles Schwab from $74.00 to $75.00 and gave the stock an “equal weight” rating in a research note on Tuesday, April 16th. StockNews.com lowered shares of Charles Schwab from a “hold” rating to a “sell” rating in a report on Friday, May 24th. JMP Securities reiterated a “market outperform” rating and set a $80.00 price target on shares of Charles Schwab in a report on Tuesday, May 28th. Piper Sandler raised their price objective on shares of Charles Schwab from $75.00 to $78.00 and gave the stock an “overweight” rating in a research note on Friday, April 12th. Finally, Morgan Stanley upped their target price on Charles Schwab from $65.00 to $71.00 and gave the company an “equal weight” rating in a research note on Tuesday, April 9th. Three research analysts have rated the stock with a sell rating, five have given a hold rating and seven have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $74.65.

Charles Schwab Price Performance

The company has a current ratio of 0.42, a quick ratio of 0.42 and a debt-to-equity ratio of 0.69. The firm has a market capitalization of $129.40 billion, a price-to-earnings ratio of 30.46, a price-to-earnings-growth ratio of 1.12 and a beta of 0.96. The stock’s fifty day moving average price is $74.15 and its two-hundred day moving average price is $69.21.

Charles Schwab (NYSE:SCHW) last released its quarterly earnings results on Monday, April 15th. The financial services provider reported $0.74 EPS for the quarter, beating the consensus estimate of $0.73 by $0.01. Charles Schwab had a net margin of 26.14% and a return on equity of 19.25%. The firm had revenue of $4.74 billion during the quarter, compared to the consensus estimate of $4.71 billion. Equities research analysts expect that The Charles Schwab Co. will post 3.26 EPS for the current year.

Charles Schwab Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, May 24th. Investors of record on Friday, May 10th were issued a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 1.37%. The ex-dividend date of this dividend was Thursday, May 9th. Charles Schwab’s dividend payout ratio is currently 41.84%.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the company. Tributary Capital Management LLC acquired a new position in shares of Charles Schwab in the first quarter valued at approximately $31,000. Sugarloaf Wealth Management LLC raised its holdings in shares of Charles Schwab by 60.0% during the 4th quarter. Sugarloaf Wealth Management LLC now owns 440 shares of the financial services provider’s stock valued at $30,000 after buying an additional 165 shares during the period. Frazier Financial Advisors LLC acquired a new position in shares of Charles Schwab during the fourth quarter worth $30,000. Wetzel Investment Advisors Inc. purchased a new position in Charles Schwab in the 4th quarter valued at about $31,000. Finally, Hall Laurie J Trustee acquired a new stake in Charles Schwab during the 4th quarter valued at approximately $34,000. Hedge funds and other institutional investors own 84.38% of the company’s stock.

Charles Schwab Company Profile

The Charles Schwab Corporation, together with its subsidiaries, operates as a savings and loan holding company that provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services in the United States and internationally. The company operates in two segments, Investor Services and Advisor Services.