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The Charles Schwab Corporation (SCHW) Laps the Stock Market: Here's Why
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The latest trading session saw The Charles Schwab Corporation (SCHW - Free Report) ending at $69.74, denoting a +0.62% adjustment from its last day's close. This move outpaced the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.68%, and the tech-heavy Nasdaq gained 0.66%.
Shares of the company witnessed a gain of 22.54% over the previous month, beating the performance of the Finance sector with its gain of 7.84% and the S&P 500's gain of 5.16%.
Investors will be eagerly watching for the performance of The Charles Schwab Corporation in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.69, marking a 35.51% fall compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $4.63 billion, down 15.71% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $3.15 per share and revenue of $18.98 billion, which would represent changes of -19.23% and -8.58%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for The Charles Schwab Corporation. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.49% lower within the past month. As of now, The Charles Schwab Corporation holds a Zacks Rank of #3 (Hold).
In terms of valuation, The Charles Schwab Corporation is currently trading at a Forward P/E ratio of 22.03. For comparison, its industry has an average Forward P/E of 17.7, which means The Charles Schwab Corporation is trading at a premium to the group.
Investors should also note that SCHW has a PEG ratio of 3.08 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Financial - Investment Bank stocks are, on average, holding a PEG ratio of 1.6 based on yesterday's closing prices.
The Financial - Investment Bank industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 191, placing it within the bottom 25% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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The Charles Schwab Corporation (SCHW) Laps the Stock Market: Here's Why
The latest trading session saw The Charles Schwab Corporation (SCHW - Free Report) ending at $69.74, denoting a +0.62% adjustment from its last day's close. This move outpaced the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.68%, and the tech-heavy Nasdaq gained 0.66%.
Shares of the company witnessed a gain of 22.54% over the previous month, beating the performance of the Finance sector with its gain of 7.84% and the S&P 500's gain of 5.16%.
Investors will be eagerly watching for the performance of The Charles Schwab Corporation in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.69, marking a 35.51% fall compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $4.63 billion, down 15.71% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $3.15 per share and revenue of $18.98 billion, which would represent changes of -19.23% and -8.58%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for The Charles Schwab Corporation. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.49% lower within the past month. As of now, The Charles Schwab Corporation holds a Zacks Rank of #3 (Hold).
In terms of valuation, The Charles Schwab Corporation is currently trading at a Forward P/E ratio of 22.03. For comparison, its industry has an average Forward P/E of 17.7, which means The Charles Schwab Corporation is trading at a premium to the group.
Investors should also note that SCHW has a PEG ratio of 3.08 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Financial - Investment Bank stocks are, on average, holding a PEG ratio of 1.6 based on yesterday's closing prices.
The Financial - Investment Bank industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 191, placing it within the bottom 25% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.