Charles Schwab Sees Unusually High Options Volume (NYSE:SCHW)

Charles Schwab Co. (NYSE:SCHW) was the target of unusually large options trading activity on Thursday. Investors purchased 85,227 put options on the company. This represents an increase of 2,804% compared to the typical daily volume of 2,935 put options.

In related news, Director Stephen T. Mclin sold 5,093 shares of the stock in a transaction on Wednesday, August 21st. The stock was sold at an average price of $37.56, for a total transaction of $191,293.08. Following the completion of the sale, the director now directly owns 7,297 shares of the company’s stock, valued at $274,075.32. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Mark A. Goldfarb purchased 2,595 shares of the firm’s stock in a transaction that occurred on Monday, August 5th. The shares were bought at an average cost of $38.68 per share, with a total value of $100,374.60. Following the completion of the acquisition, the director now owns 3,771 shares of the company’s stock, valued at $145,862.28. The disclosure for this purchase can be found here. Company insiders own 10.90% of the company’s stock.

Institutional investors and hedge funds have recently bought and sold shares of the business. Chemical Bank lifted its stake in shares of Charles Schwab by 2.3% in the 2nd quarter. Chemical Bank now owns 54,203 shares of the financial services provider’s stock valued at $2,179,000 after purchasing an additional 1,236 shares in the last quarter. Stack Financial Management Inc lifted its position in Charles Schwab by 4.4% during the 1st quarter. Stack Financial Management Inc now owns 411,543 shares of the financial services provider’s stock worth $17,598,000 after acquiring an additional 17,452 shares in the last quarter. Mercer Global Advisors Inc. ADV acquired a new position in Charles Schwab during the 1st quarter worth approximately $375,000. Reilly Herbert Faulkner III lifted its position in Charles Schwab by 2.4% during the 1st quarter. Reilly Herbert Faulkner III now owns 119,451 shares of the financial services provider’s stock worth $5,108,000 after acquiring an additional 2,748 shares in the last quarter. Finally, Rockefeller Capital Management L.P. lifted its position in Charles Schwab by 28.0% during the 1st quarter. Rockefeller Capital Management L.P. now owns 74,886 shares of the financial services provider’s stock worth $3,203,000 after acquiring an additional 16,378 shares in the last quarter. Institutional investors own 80.30% of the company’s stock.

Charles Schwab stock traded down $1.29 during midday trading on Friday, reaching $36.58. 7,689,743 shares of the company were exchanged, compared to its average volume of 10,629,582. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.31 and a current ratio of 0.31. The company has a market capitalization of $49.16 billion, a price-to-earnings ratio of 14.93, a P/E/G ratio of 2.48 and a beta of 1.25. The firm’s 50-day simple moving average is $40.14 and its 200-day simple moving average is $43.05. Charles Schwab has a 1 year low of $36.01 and a 1 year high of $52.70.

Charles Schwab (NYSE:SCHW) last posted its quarterly earnings results on Tuesday, July 16th. The financial services provider reported $0.66 EPS for the quarter, beating the consensus estimate of $0.65 by $0.01. The company had revenue of $2.68 billion during the quarter, compared to analysts’ expectations of $2.68 billion. Charles Schwab had a return on equity of 20.52% and a net margin of 35.29%. The firm’s revenue was up 7.8% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.60 EPS. On average, analysts forecast that Charles Schwab will post 2.67 EPS for the current fiscal year.

The firm also recently declared a quarterly dividend, which was paid on Friday, August 23rd. Shareholders of record on Friday, August 9th were issued a $0.17 dividend. This represents a $0.68 annualized dividend and a yield of 1.86%. The ex-dividend date of this dividend was Thursday, August 8th. Charles Schwab’s dividend payout ratio (DPR) is 27.76%.

A number of equities research analysts have commented on the company. Wells Fargo & Co raised Charles Schwab from a “market perform” rating to an “outperform” rating and set a $50.00 target price for the company in a report on Monday, July 22nd. ValuEngine downgraded Charles Schwab from a “hold” rating to a “sell” rating in a report on Tuesday, June 18th. Bank of America cut Charles Schwab from a “buy” rating to a “neutral” rating and dropped their price target for the company from $49.00 to $43.00 in a research report on Friday, July 12th. Citigroup dropped their price target on Charles Schwab from $43.50 to $39.50 and set a “neutral” rating for the company in a research report on Tuesday, July 9th. Finally, Keefe, Bruyette & Woods cut Charles Schwab from an “outperform” rating to a “market perform” rating and dropped their price target for the company from $51.00 to $43.50 in a research report on Friday, July 12th. Two equities research analysts have rated the stock with a sell rating, six have assigned a hold rating and nine have given a buy rating to the stock. The company currently has a consensus rating of “Hold” and a consensus target price of $47.33.

Charles Schwab Company Profile

The Charles Schwab Corporation, through its subsidiaries, provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services. The company operates through two segments, Investor Services and Advisor Services. The Investor Services segment provides retail brokerage and banking services, retirement plan services, and other corporate brokerage services; equity compensation plan sponsors full-service recordkeeping for stock plans, stock options, restricted stock, performance shares, and stock appreciation rights; and retail investor, retirement plan, and mutual fund clearing services.

See Also: Why is Cost of Capital Important?

Receive News & Ratings for Charles Schwab Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Charles Schwab and related companies with MarketBeat.com's FREE daily email newsletter.