Charles Schwab (SCHW)
Market Price (12/2/2025): $92.85 | Market Cap: $167.7 BilSector: Financials | Industry: Investment Banking & Brokerage
Charles Schwab (SCHW)
Market Price (12/2/2025): $92.85Market Cap: $167.7 BilSector: FinancialsIndustry: Investment Banking & Brokerage
Investment Highlights
Why It Matters
Which of these 2 stories sounds closer for this stock?
1. Generates cash flow
The stock generated 4% or more of the share price (called cash flow yield), and shows moderate 10-15% or more growth.
2. Riding a trend
Think Tesla during the pandemic of 2020 when EVs were riding a cultural high, or Nvidia in the current AI boom, or even Figma. These companies don’t have enough yield, or, enough growth, or both - however - they are riding a trend. They have momentum. These can be more volatile - they don’t have the floor of strong cash flow
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -38% | Weak multi-year price returns3Y Excs Rtn is -51% | Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -3.3%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -6.1% |
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 22% | ||
| Low stock price volatilityVol 12M is 25% | ||
| Capital ratio is >2x the minimum of 6%Tier 1 Capital / Risk Wtd Assets RatioTier 1 Capital / Risk-Weighted Assets is a common measure of financial strength for a bank. It reflects how much equity there is relative to assets where assets are weighted based on riskiness. Low ratios indicate the bank is highly vulnerable to even small changes in the value of their risk assets. is 17% | ||
| Uninsured deposits are lowUninsured Deposits Ratio %Fraction of deposits that exceed the insurance deposit thresholds. For example, the FDIC protects deposits up to $250K. A high uninsured deposits ratio indicates large accounts and greater potential exposure to bank run risk. is 8.8% | ||
| Megatrend and thematic driversMegatrends include Fintech & Digital Payments, AI in Financial Services, and Sustainable Finance. Themes include Digital Payments, Show more. |
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -38% |
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 22% |
| Low stock price volatilityVol 12M is 25% |
| Capital ratio is >2x the minimum of 6%Tier 1 Capital / Risk Wtd Assets RatioTier 1 Capital / Risk-Weighted Assets is a common measure of financial strength for a bank. It reflects how much equity there is relative to assets where assets are weighted based on riskiness. Low ratios indicate the bank is highly vulnerable to even small changes in the value of their risk assets. is 17% |
| Uninsured deposits are lowUninsured Deposits Ratio %Fraction of deposits that exceed the insurance deposit thresholds. For example, the FDIC protects deposits up to $250K. A high uninsured deposits ratio indicates large accounts and greater potential exposure to bank run risk. is 8.8% |
| Megatrend and thematic driversMegatrends include Fintech & Digital Payments, AI in Financial Services, and Sustainable Finance. Themes include Digital Payments, Show more. |
| Weak multi-year price returns3Y Excs Rtn is -51% |
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -3.3%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -6.1% |
Valuation, Metrics & Events
SCHW Stock
Why The Stock Moved
Qualitative Assessment
AI Generated Analysis | Feedback
Here are key points explaining potential reasons for a -3% stock movement for Charles Schwab (SCHW) during a recent period, based on the most recent available information:
1. The presence of low-yielding assets on the balance sheet combined with rising funding costs created headwinds for net interest revenues. Charles Schwab held a substantial portfolio of "held to maturity" loans acquired during periods of low interest rates. As the Federal Reserve increased benchmark interest rates (exceeding 5%), the company faced higher costs for customer deposits, which negatively impacted its net interest income.
2. Weaker-than-expected Q2 2024 financial results showed slow growth and a decline in net income. For the first six months of 2024, Charles Schwab reported a 3% year-over-year decrease in revenue and a 7% drop in net income. This performance, announced in July 2024, disappointed investors and led to a significant stock slump.
Stock Movement Drivers
Return vs. Risk
Price Returns Compared
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| SCHW Return | 14% | 60% | 0% | -16% | 9% | 27% | 112% |
| Peers Return | 20% | 36% | -14% | 14% | 53% | 32% | 220% |
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 16% | 111% |
Monthly Win Rates [3] | |||||||
| SCHW Win Rate | 50% | 58% | 67% | 50% | 58% | 50% | |
| Peers Win Rate | 62% | 63% | 47% | 48% | 72% | 68% | |
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 70% | |
Max Drawdowns [4] | |||||||
| SCHW Max Drawdown | -40% | -3% | -28% | -43% | -10% | -6% | |
| Peers Max Drawdown | -39% | -4% | -34% | -12% | -5% | -17% | |
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | |
[1] Cumulative total returns since the beginning of 2020
[2] Peers: MS, BLK, BK, STT, IBKR. See SCHW Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2025 data is for the year up to 12/1/2025 (YTD)
How Low Can It Go
| Event | SCHW | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -50.4% | -25.4% |
| % Gain to Breakeven | 101.7% | 34.1% |
| Time to Breakeven | 806 days | 464 days |
| 2020 Covid Pandemic | ||
| % Loss | -42.0% | -33.9% |
| % Gain to Breakeven | 72.4% | 51.3% |
| Time to Breakeven | 257 days | 148 days |
| 2018 Correction | ||
| % Loss | -41.1% | -19.8% |
| % Gain to Breakeven | 69.8% | 24.7% |
| Time to Breakeven | 466 days | 120 days |
| 2008 Global Financial Crisis | ||
| % Loss | -56.4% | -56.8% |
| % Gain to Breakeven | 129.3% | 131.3% |
| Time to Breakeven | 1762 days | 1480 days |
Compare to MS, BLK, BK, STT, IBKR
In The Past
Charles Schwab's stock fell -50.4% during the 2022 Inflation Shock from a high on 1/14/2022. A -50.4% loss requires a 101.7% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth over time.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
Latest Trefis Analyses
Trade Ideas
Select past ideas related to SCHW. For more, see Trefis Trade Ideas.
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 11212025 | WU | Western Union | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 3.0% | 3.0% | -0.4% |
| 11212025 | COIN | Coinbase Global | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 10.2% | 10.2% | 0.0% |
| 11142025 | PYPL | PayPal | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -1.6% | -1.6% | -7.5% |
| 11142025 | V | Visa | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 1.1% | 1.1% | -2.7% |
| 11072025 | WD | Walker & Dunlop | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | -5.1% | -5.1% | -11.0% |
| 02282022 | SCHW | Charles Schwab | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | -14.3% | -6.4% | -28.8% |
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 11212025 | WU | Western Union | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 3.0% | 3.0% | -0.4% |
| 11212025 | COIN | Coinbase Global | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 10.2% | 10.2% | 0.0% |
| 11142025 | PYPL | PayPal | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -1.6% | -1.6% | -7.5% |
| 11142025 | V | Visa | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 1.1% | 1.1% | -2.7% |
| 11072025 | WD | Walker & Dunlop | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | -5.1% | -5.1% | -11.0% |
| 02282022 | SCHW | Charles Schwab | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | -14.3% | -6.4% | -28.8% |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons for Charles Schwab
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 114.97 |
| Mkt Cap | 120.5 |
| Rev LTM | 20,908 |
| Op Inc LTM | 8,094 |
| FCF LTM | 492 |
| FCF 3Y Avg | 3,963 |
| CFO LTM | 1,547 |
| CFO 3Y Avg | 4,767 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 13.9% |
| Rev Chg 3Y Avg | 6.8% |
| Rev Chg Q | 16.0% |
| QoQ Delta Rev Chg LTM | 3.8% |
| Op Mgn LTM | 59.6% |
| Op Mgn 3Y Avg | 59.7% |
| QoQ Delta Op Mgn LTM | -0.2% |
| CFO/Rev LTM | 7.7% |
| CFO/Rev 3Y Avg | 25.9% |
| FCF/Rev LTM | 3.2% |
| FCF/Rev 3Y Avg | 21.5% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 120.5 |
| P/S | 4.0 |
| P/EBIT | 12.1 |
| P/E | 18.3 |
| P/CFO | -2.0 |
| Total Yield | 5.8% |
| Dividend Yield | 0.2% |
| FCF Yield 3Y Avg | 5.5% |
| D/E | 0.3 |
| Net D/E | -0.3 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 0.2% |
| 3M Rtn | 2.9% |
| 6M Rtn | 23.5% |
| 12M Rtn | 27.6% |
| 3Y Rtn | 85.4% |
| 1M Excs Rtn | 0.8% |
| 3M Excs Rtn | -2.6% |
| 6M Excs Rtn | 7.8% |
| 12M Excs Rtn | 12.7% |
| 3Y Excs Rtn | 19.2% |
Returns Analyses
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/16/2025 | 0.8% | 1.3% | 1.3% |
| 7/18/2025 | 0.5% | 1.3% | 0.7% |
| 4/17/2025 | -1.6% | 5.0% | 17.6% |
| 1/21/2025 | -0.4% | 1.0% | 1.4% |
| 10/15/2024 | 0.2% | -1.5% | 9.1% |
| 7/16/2024 | -5.4% | -3.4% | -2.7% |
| 4/15/2024 | 2.6% | 4.3% | 8.6% |
| 1/17/2024 | -1.2% | 0.0% | 2.3% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 10 | 13 | 16 |
| # Negative | 14 | 11 | 8 |
| Median Positive | 1.3% | 2.8% | 5.7% |
| Median Negative | -1.2% | -3.4% | -3.7% |
| Max Positive | 3.2% | 5.0% | 26.4% |
| Max Negative | -6.2% | -8.2% | -12.7% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 9302025 | 11072025 | 10-Q 9/30/2025 |
| 6302025 | 8082025 | 10-Q 6/30/2025 |
| 3312025 | 5092025 | 10-Q 3/31/2025 |
| 12312024 | 2262025 | 10-K 12/31/2024 |
| 9302024 | 11082024 | 10-Q 9/30/2024 |
| 6302024 | 8082024 | 10-Q 6/30/2024 |
| 3312024 | 5092024 | 10-Q 3/31/2024 |
| 12312023 | 2232024 | 10-K 12/31/2023 |
| 9302023 | 11082023 | 10-Q 9/30/2023 |
| 6302023 | 8082023 | 10-Q 6/30/2023 |
| 3312023 | 5082023 | 10-Q 3/31/2023 |
| 12312022 | 2242023 | 10-K 12/31/2022 |
| 9302022 | 11082022 | 10-Q 9/30/2022 |
| 6302022 | 8082022 | 10-Q 6/30/2022 |
| 3312022 | 5092022 | 10-Q 3/31/2022 |
| 12312021 | 2242022 | 10-K 12/31/2021 |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |