Core Viewpoint - Charles Schwab Corporation is a leading U.S. brokerage firm that offers a wide range of financial services and investment products, competing with major firms like Fidelity and E*TRADE [1] Financial Performance - On January 21, 2026, Schwab reported earnings per share (EPS) of $1.39, slightly below the estimated $1.40, with revenue of approximately $6.34 billion, just under the expected $6.38 billion [2][6] - In 2025, Schwab's net income for the fourth quarter reached $2.5 billion, driven by a surge in brokerage activity as individual investors engaged in stock and ETF trading at unprecedented levels [3][6] Market Position and Valuation - Schwab has a price-to-earnings (P/E) ratio of approximately 22.52, indicating investor confidence in its earnings potential, while the price-to-sales ratio is about 6.86 [4][6] - The enterprise value to operating cash flow ratio is notably negative at -243.46, suggesting challenges in cash flow generation [4] - The company's debt-to-equity ratio stands at 0.56, indicating a moderate level of debt compared to equity, while the current ratio of 0.50 may suggest potential liquidity concerns [5]

After Tuesday's sharp sell-off, triggered by renewed fears of potential U.S. tariffs on Europe tied to President Donald Trump's stance on Greenland, Wall Street attempted a cautious rebound in Wednesday's session. • Lucid Group stock is showing exceptional strength. What’s behind LCID gains?Speaking at the World Economic Forum in Davos, Trump reiterated that acquiring Greenland remains a national security priority for the U.S. He said he expects NATO allies to understand the strategic importance of the issu ...

PresentationJeff EdwardsMD & Head of Investor Relations Good morning, everyone, and welcome to Schwab's 2026 Winter Business Update. This is Jeff Edwards, Head of Investor Relations. I'm joined in Westlake today by our President and CEO, Rick Wurster; as well as our CFO, Mike Verdeschi. During our time together this morning, the team will review 2025, a year where the business delivered growth across all fronts and discuss the growing set of opportunities we see to help clients even more in 2026 and beyond. ...

Charles Schwab's (SCHW) earnings and revenue narrowly missed analysts' expectations despite strong trading activity, but the stock held up at a critical level. The brokerage firm early today reported adjusted earnings of $1.39 a share, a year-over-year increase of 38%. Analysts' consensus estimate was $1.40 a share. Fourth-quarter revenue climbed 19% to $6.336 billion, just below projections for $6.38 billion,… ...

Since my last call in March 2025 at $77.64, The Charles Schwab Corporation ( SCHW ) has run up more than 30% to hit $101.44. Most of the recovery story I was betting on has already happened. MarginsWith over 15 years of experience in the markets and a degree in economics, I focus on breaking down companies with clarity and discipline. My goal is to give individual investors a straightforward, honest view—what’s working, what isn’t, and where the risks and opportunities actually are. I don’t chase narratives ...

Since my last call in March 2025 at $77.64, The Charles Schwab Corporation ( SCHW ) has run up more than 30% to hit $101.44. Most of the recovery story I was betting on has already happened. MarginsWith over 15 years of experience in the markets and a degree in economics, I focus on breaking down companies with clarity and discipline. My goal is to give individual investors a straightforward, honest view—what’s working, what isn’t, and where the risks and opportunities actually are. I don’t chase narratives ...

Core Insights - Charles Schwab's fourth-quarter 2025 adjusted earnings per share (EPS) of $1.39 exceeded the Zacks Consensus Estimate of $1.37, marking a 38% year-over-year increase [1][9] - Despite strong results, shares fell nearly 1.5% in pre-market trading due to rising expenses [1][9] Financial Performance - The quarterly results were bolstered by robust asset management performance and increased trading revenues, alongside higher net interest revenues (NIR) and solid brokerage account growth [2] - Net income on a GAAP basis reached $2.46 billion or $1.33 per share, up from $1.84 billion or 94 cents per share in the same quarter last year [2] - For the full year 2025, adjusted EPS was $4.87, surpassing the consensus estimate of $4.84, and net income increased by 49% to $8.85 billion [3] Revenue and Expenses - Quarterly net revenues hit a record $6.33 billion, a 19% increase year over year, driven by a 25% rise in NIR, 22% in trading revenue, and 15% in asset management and administration fees [4] - Total non-interest expenses on a GAAP basis rose 4% to $3.16 billion, with adjusted total expenses increasing 6% year over year to $3.03 billion [5] - The pre-tax profit margin improved to 50.2% from 43.3% in the prior-year quarter [5] Client Metrics - As of December 31, 2025, total client assets reached a record $11.9 trillion, an 18% increase year over year [6] - The company added 1.27 million new brokerage accounts during the quarter, bringing the total to 38.5 million active brokerage accounts [6] Share Repurchase - During the reported quarter, Schwab repurchased 29.2 million shares for $2.7 billion [7]

Charles Schwab (NYSE:SCHW) Q4 2025 Earnings call January 21, 2026 08:30 AM ET Company ParticipantsMike Verdeschi - CFOJeff Edwards - Head of Investor RelationsRick Wurster - President and CEOConference Call ParticipantsBill Katz - AnalystBrennan Hawken - AnalystStephen Turek - AnalystKen Worthington - AnalystAlex Blostein - Lead Capital Markets AnalystBrian Bedell - AnalystDevin Ryan - AnalystDan Fannon - AnalystBenjamin Budish - AnalystMike Brown - AnalystJeff EdwardsGood morning, everyone, and welcome to ...

Charles Schwab (NYSE:SCHW) Q4 2025 Earnings call January 21, 2026 08:30 AM ET Company ParticipantsMike Verdeschi - CFOJeff Edwards - Head of Investor RelationsRick Wurster - President and CEOConference Call ParticipantsBill Katz - AnalystBrennan Hawken - AnalystStephen Turek - AnalystKen Worthington - AnalystAlex Blostein - Lead Capital Markets AnalystBrian Bedell - AnalystDevin Ryan - AnalystDan Fannon - AnalystBenjamin Budish - AnalystMike Brown - AnalystJeff EdwardsGood morning, everyone, and welcome to ...

Summary of Charles Schwab's 2026 Winter Business Update Company Overview - **Company**: Charles Schwab (NYSE:SCHW) - **Event**: 2026 Winter Business Update - **Date**: January 21, 2026 Key Points Financial Performance - **Record Year**: 2025 was a record year for Schwab, with total net revenues reaching **$23.9 billion**, a **22% increase** from 2024 [3][4] - **Adjusted Earnings**: Adjusted earnings per share were **$4.87**, up **50%** year-over-year [4][24] - **Core Net New Assets (NNA)**: Schwab attracted **$519 billion** in core NNA, a **42% increase** over the previous year [3][42] - **New Accounts**: Clients opened **4.7 million** new brokerage accounts, a **13% increase** from 2024 [3] Client Engagement and Growth Strategies - **Client Engagement**: Supported **1.9 billion trades** and **30 million calls** to service centers, with **2.2 billion digital logins**, an **18% increase** from 2024 [6][8] - **Client Accounts**: Ended the year with over **46 million client accounts** and nearly **$12 trillion** in total client assets [9] - **Growth Levers**: Focus on attracting more clients and deepening relationships by serving more of their financial needs [10][12] Innovations and Services - **New Offerings**: Launched several new services, including Advisor ProDirect and a long-short separately managed accounts program [5] - **Acquisitions**: Entered an agreement to acquire Forge to enhance access to alternative investments and made a strategic investment in Carta [5][19] - **Wealth Management**: Expanded wealth services and improved capabilities in tax, trust, and estate planning [14][16] Market Position and Competitive Advantage - **Industry Leader**: Ranked number one among peers by total client assets and daily average trades, which reached **7.7 million** per day [9] - **Cost Efficiency**: Decreased cost per account by **20%** over the last five years, maintaining a competitive edge in expense on client assets [20][21] Future Outlook - **2026 Projections**: Anticipate total revenue growth of **9.5%-10.5%** and full-year organic asset growth of around **5%** [29][60] - **Interest Rates**: Expect interest rates to decrease, with a target Fed funds rate of **3.25%** by the end of 2026 [27] - **Earnings Growth**: Projected adjusted earnings of around **$5.70-$5.80**, representing upper teens year-over-year growth [32] Capital Management - **Capital Return**: Strong capital return strategy with **$11.8 billion** returned to shareholders in various forms [26][27] - **Tier 1 Ratio**: Adjusted Tier 1 leverage ratio finished at **7.1%**, above the target range of **6.75%-7%** [26][61] Additional Insights - **Client Demographics**: Average retail client age has decreased to the **40s**, with a significant portion of new clients being Gen Z [12][43] - **Lending Opportunities**: Significant growth potential in lending, with only **9%** penetration of Pledged Asset Line among ultra-high net worth clients [17][47] - **Alternative Investments**: Growing interest in alternative investments, with expectations of increased client engagement in this area [19][40] This summary encapsulates the key insights and data points from Charles Schwab's 2026 Winter Business Update, highlighting the company's strong performance, strategic initiatives, and future outlook.