Charles Schwab Q1 Earnings Beat: Boosts Dividend 8%, Adds $138 Billion In Net New Assets & More
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 17 2025
0mins
Should l Buy SCHW?
Source: Benzinga
Financial Performance: Charles Schwab Corporation reported a strong first quarter with an 18% increase in revenue to $5.60 billion, driven by a 21% rise in net interest revenue and a 37% increase in adjusted net income to $2.01 billion.
Client Growth and Shareholder Returns: The company saw a significant inflow of $138 billion in core net new assets, while also repurchasing shares and increasing its dividend by 8%, reflecting confidence in its financial stability amidst market volatility.
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Analyst Views on SCHW
Wall Street analysts forecast SCHW stock price to rise
16 Analyst Rating
14 Buy
1 Hold
1 Sell
Strong Buy
Current: 100.270
Low
91.00
Averages
116.64
High
148.00
Current: 100.270
Low
91.00
Averages
116.64
High
148.00
About SCHW
The Charles Schwab Corporation is a savings and loan holding company. The Company, through its subsidiaries, engages in wealth management, securities brokerage, banking, asset management, custody, and financial advisory services. The Company provides financial services to individuals and institutional clients through two segments: Investor Services, and Advisor Services. The Investor Services segment provides retail brokerage, investment advisory, and banking and trust services to individual investors, and retirement plan and business services, as well as other corporate brokerage services, to businesses and their employees. The Advisor Services segment provides custodial, trading, banking and trust, and support services to independent registered investment advisors (RIAs), independent retirement advisors, and recordkeepers. Its products and services include brokerage, mutual funds, exchange-traded funds (ETFs), managed investing solutions, alternative investments, banking, and trust.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Charles Schwab Q1 Earnings Announcement Scheduled
- Earnings Release Date: Charles Schwab (SCHW) is set to announce its Q1 earnings on April 16 before market open, with a consensus EPS estimate of $1.39, reflecting a 33.7% year-over-year increase, indicating sustained profitability that could drive stock price appreciation.
- Strong Revenue Expectations: The anticipated revenue for Q1 is $6.49 billion, representing a 15.9% year-over-year growth, which underscores the company's robust performance in client base and trading activities, further solidifying its market position.
- Outstanding Historical Performance: Over the past two years, Schwab has beaten EPS estimates 100% of the time and revenue estimates 75% of the time, enhancing investor confidence and potentially attracting more capital inflows.
- Positive Revision Trends: In the last three months, EPS estimates have seen 15 upward revisions with no downward adjustments, and revenue estimates have experienced 8 upward revisions, indicating analysts' optimistic outlook on Schwab's future performance, which may further boost stock prices.
See More
Schwab Launches Crypto Trading Service for Retail Clients
- Crypto Trading Platform: Schwab has launched Schwab Crypto™, providing retail clients with direct access to bitcoin and ethereum trading, which is expected to enhance client investment options and convenience, thereby solidifying Schwab's market position in digital assets.
- Education and Support: The new platform will offer in-depth digital asset education and resources, incorporating insights from the Schwab Center for Financial Research to help investors better understand the crypto market, thus enhancing client confidence and decision-making capabilities.
- Low-Cost Trading: Schwab's trading fee is set at 75 basis points on the dollar value of each trade, ensuring clients benefit from the lowest transparent pricing in the industry, attracting more investors looking to enter the crypto market at a low cost.
- Future Expansion Plans: Schwab plans to gradually add more cryptocurrencies and provide transfer capabilities for deposits and withdrawals, allowing clients to integrate existing digital asset investments into Schwab's portfolio, further enhancing the overall investment experience for clients.
See More
Morgan Stanley Lowers Target Price for Charles Schwab Corp to $125 from $135
Company Update: Charles Schwab Corp has made a significant adjustment to its stock price target.
Target Price Change: The new target price is set at $125, reduced from the previous $135.
See More
TD Cowen Lowers Target Price for Charles Schwab Corp to $108 from $128
- Target Price Adjustment: Charles Schwab Corp has reduced its target price for TD Cowen from $128 to $108.
- Market Impact: This adjustment reflects changes in market conditions and expectations for TD Cowen's performance.
See More
US Stocks Close Higher with Chipmakers Rallying
- Market Recovery: On Thursday, the S&P 500 rose by 0.26% and the Nasdaq 100 by 0.49%, reaching new highs, indicating a strong rebound after early losses and reflecting investor confidence in economic recovery.
- Chip Sector Boost: Taiwan Semiconductor Manufacturing Co raised its 2026 revenue forecast, highlighting strong AI demand, which propelled chipmakers' stock prices, particularly benefiting major suppliers to Nvidia and Apple, further enhancing market optimism.
- Oil Price Impact: Despite the stock market gains, crude oil prices surged over 3%, raising concerns about the Middle East situation and limiting the market's upward momentum, illustrating the potential impact of energy prices on the overall economy.
- Mixed Economic Data: Initial jobless claims fell to 207,000, exceeding expectations and indicating labor market strength, but unexpected declines in manufacturing production reflect economic uncertainty, which could influence future monetary policy.
See More
Robinhood Markets Faces Competitive Pressure Amid Crypto Launch
- Volume Surge: Robinhood Markets reported a trading volume of 51.3 million shares, approximately 64% above its three-month average of 31.3 million shares, indicating increased user engagement but also highlighting competitive pressures.
- Increased Competitive Threat: Charles Schwab's plan to launch a spot crypto trading platform for retail clients poses a significant threat to Robinhood's market share in crypto trading, potentially impacting its trading volumes and transaction-based revenues.
- Regulatory Environment Shift: The SEC's removal of the $25,000 minimum for pattern day traders may encourage greater participation among retail users, potentially increasing trading frequency, although this is countered by rising competition.
- Market Reaction: Robinhood's stock closed at $86.85, down 0.54% on Thursday, reflecting investor concerns over Schwab's new initiative while also monitoring upcoming results for signs of increased retail trading volumes.
See More
Charles Schwab Q1 Earnings Announcement Scheduled
- Earnings Release Date: Charles Schwab (SCHW) is set to announce its Q1 earnings on April 16 before market open, with a consensus EPS estimate of $1.39, reflecting a 33.7% year-over-year increase, indicating sustained profitability that could drive stock price appreciation.
- Strong Revenue Expectations: The anticipated revenue for Q1 is $6.49 billion, representing a 15.9% year-over-year growth, which underscores the company's robust performance in client base and trading activities, further solidifying its market position.
- Outstanding Historical Performance: Over the past two years, Schwab has beaten EPS estimates 100% of the time and revenue estimates 75% of the time, enhancing investor confidence and potentially attracting more capital inflows.
- Positive Revision Trends: In the last three months, EPS estimates have seen 15 upward revisions with no downward adjustments, and revenue estimates have experienced 8 upward revisions, indicating analysts' optimistic outlook on Schwab's future performance, which may further boost stock prices.
See More
Schwab Launches Crypto Trading Service for Retail Clients
- Crypto Trading Platform: Schwab has launched Schwab Crypto™, providing retail clients with direct access to bitcoin and ethereum trading, which is expected to enhance client investment options and convenience, thereby solidifying Schwab's market position in digital assets.
- Education and Support: The new platform will offer in-depth digital asset education and resources, incorporating insights from the Schwab Center for Financial Research to help investors better understand the crypto market, thus enhancing client confidence and decision-making capabilities.
- Low-Cost Trading: Schwab's trading fee is set at 75 basis points on the dollar value of each trade, ensuring clients benefit from the lowest transparent pricing in the industry, attracting more investors looking to enter the crypto market at a low cost.
- Future Expansion Plans: Schwab plans to gradually add more cryptocurrencies and provide transfer capabilities for deposits and withdrawals, allowing clients to integrate existing digital asset investments into Schwab's portfolio, further enhancing the overall investment experience for clients.
See More
Morgan Stanley Lowers Target Price for Charles Schwab Corp to $125 from $135
Company Update: Charles Schwab Corp has made a significant adjustment to its stock price target.
Target Price Change: The new target price is set at $125, reduced from the previous $135.
See More
TD Cowen Lowers Target Price for Charles Schwab Corp to $108 from $128
- Target Price Adjustment: Charles Schwab Corp has reduced its target price for TD Cowen from $128 to $108.
- Market Impact: This adjustment reflects changes in market conditions and expectations for TD Cowen's performance.
See More
US Stocks Close Higher with Chipmakers Rallying
- Market Recovery: On Thursday, the S&P 500 rose by 0.26% and the Nasdaq 100 by 0.49%, reaching new highs, indicating a strong rebound after early losses and reflecting investor confidence in economic recovery.
- Chip Sector Boost: Taiwan Semiconductor Manufacturing Co raised its 2026 revenue forecast, highlighting strong AI demand, which propelled chipmakers' stock prices, particularly benefiting major suppliers to Nvidia and Apple, further enhancing market optimism.
- Oil Price Impact: Despite the stock market gains, crude oil prices surged over 3%, raising concerns about the Middle East situation and limiting the market's upward momentum, illustrating the potential impact of energy prices on the overall economy.
- Mixed Economic Data: Initial jobless claims fell to 207,000, exceeding expectations and indicating labor market strength, but unexpected declines in manufacturing production reflect economic uncertainty, which could influence future monetary policy.
See More
Robinhood Markets Faces Competitive Pressure Amid Crypto Launch
- Volume Surge: Robinhood Markets reported a trading volume of 51.3 million shares, approximately 64% above its three-month average of 31.3 million shares, indicating increased user engagement but also highlighting competitive pressures.
- Increased Competitive Threat: Charles Schwab's plan to launch a spot crypto trading platform for retail clients poses a significant threat to Robinhood's market share in crypto trading, potentially impacting its trading volumes and transaction-based revenues.
- Regulatory Environment Shift: The SEC's removal of the $25,000 minimum for pattern day traders may encourage greater participation among retail users, potentially increasing trading frequency, although this is countered by rising competition.
- Market Reaction: Robinhood's stock closed at $86.85, down 0.54% on Thursday, reflecting investor concerns over Schwab's new initiative while also monitoring upcoming results for signs of increased retail trading volumes.
See More
