Overview
Financial services provider's Q4 revenue slightly missed analyst expectations
Adjusted EPS for Q4 met analyst expectations
Company repurchased 29.2 mln shares for $2.7 bln during the quarter
Outlook
Company expects continued client engagement and diversified revenue growth in 2026
Charles Schwab anticipates closing Forge Global acquisition in first half of 2026
Result Drivers
CLIENT ASSET GROWTH - Total client assets increased 18% year-over-year to a record $11.90 trillion, driven by strong net new assets and market gains
MANAGED INVESTING INFLOWS - Net inflows into Managed Investing solutions grew by 36% versus 2024, reflecting increased client engagement
TRADING REVENUE - Trading revenue increased 22% versus 4Q24 due to continued strong engagement
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Slight Miss* | $6.34 bln | $6.37 bln (11 Analysts) |
Q4 Adjusted EPS | Meet | $1.39 | $1.39 (16 Analysts) |
Q4 EPS | $1.33 | ||
Q4 Net Income | $2.50 bln | ||
Q4 Net Interest Margin | 2.90% |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 17 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the investment banking & brokerage services peer group is "buy"
Wall Street's median 12-month price target for Charles Schwab Corp is $120.00, about 18.8% above its January 20 closing price of $100.99
The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 18 three months ago
Press Release: ID:nBw5gY837a
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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