The Charles Schwab Corporation (SCHW) is a Great Momentum Stock: Should You Buy?

Core Viewpoint - The Charles Schwab Corporation (SCHW) is identified as a strong momentum stock with a Momentum Style Score of A and a Zacks Rank of 1 (Strong Buy), indicating potential for significant near-term gains [2][3][11]. Momentum Characteristics - Momentum investing involves following a stock's recent price trends, with the expectation that established trends will continue [1]. - SCHW's shares have increased by 4.16% over the past week, outperforming the Zacks Financial - Investment Bank industry, which rose by 1.42% during the same period [5]. - Over the past month, SCHW's price change is 8.52%, compared to the industry's 6.21% [5]. Long-Term Performance - In the last quarter, SCHW shares have risen by 19.08%, and over the past year, they have increased by 46.53% [6]. - In comparison, the S&P 500 has moved 16.04% in the last quarter and 19.71% over the past year, indicating SCHW's superior performance [6]. Trading Volume - SCHW's average 20-day trading volume is 8,598,255 shares, which is a bullish indicator when combined with rising stock prices [7]. Earnings Outlook - Over the past two months, 10 earnings estimates for SCHW have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $4.28 to $4.56 [9]. - For the next fiscal year, 11 estimates have also moved upwards without any downward revisions [9]. Conclusion - Given the strong momentum indicators and positive earnings outlook, SCHW is positioned as a compelling investment opportunity for those seeking stocks with potential for significant near-term growth [11].