August 23, 2025 a 01:00 pm
SCHW: Fundamental Ratio Analysis - The Charles Schwab Corporation
The Charles Schwab Corporation, operating within the financial services sector, provides a comprehensive suite of wealth management, securities brokerage, and asset management services. With a focus on both Investor and Advisor Services, Schwab delivers tailored financial solutions. This analysis provides insights into the stock's performance and future potential.
Fundamental Rating
The Charles Schwab Corporation exhibits a balanced performance across key financial metrics, highlighting its strengths and areas for improvement.
| Category | Score | Score Visualization |
|---|---|---|
| Discounted Cash Flow | 4 | |
| Return on Equity | 4 | |
| Return on Assets | 4 | |
| Debt to Equity | 2 | |
| Price to Earnings | 1 | |
| Price to Book | 1 |
Historical Rating
The historical scores provide a view on the consistency of the fundamental strengths of Schwab's stock over time.
| Date | Overall | DCF | ROE | ROA | Debt/Equity | P/E | P/B |
|---|---|---|---|---|---|---|---|
| 2025-08-22 | 3 | 4 | 4 | 4 | 2 | 1 | 1 |
| Prior | 3 | 4 | 4 | 4 | 2 | 1 | 1 |
Analyst Price Targets
Analysts are generally optimistic, projecting moderate growth potential with a stable outlook in price targets.
| High | Low | Median | Consensus |
|---|---|---|---|
| 102 | 99 | 100.5 | 100.5 |
Analyst Sentiment
The sentiment among analysts is predominantly positive, indicating confidence in Schwab's market position and future prospects.
| Recommendation | Count | Distribution |
|---|---|---|
| Strong Buy | 0 | |
| Buy | 28 | |
| Hold | 18 | |
| Sell | 3 | |
| Strong Sell | 0 |
Conclusion
The Charles Schwab Corporation showcases robust financial health with exceptional returns on equity and assets. However, its valuation is relatively high, depicted by low price-to-earnings and price-to-book ratios. Despite potential risks in debt management, analyst sentiment leans heavily towards a 'Buy' recommendation, underscoring confidence in Schwab's strategic market positioning and future growth trajectories. Investors are encouraged to weigh these dynamics in the context of macroeconomic factors and individual risk tolerance.