Earnings Performance - Charles Schwab's Q4 2024 adjusted earnings of $1.01 per share beat the Zacks Consensus Estimate of 90 cents, marking a 49% year-over-year increase [1] - Net income (GAAP basis) for Q4 2024 was $1.84 billion or 94 cents per share, up from $1.05 billion or 51 cents per share in the year-ago quarter [3] - For full-year 2024, adjusted earnings were $3.25 per share, surpassing the consensus estimate of $3.16 and rising 4% year-over-year [4] - Full-year net income (GAAP basis) was $5.94 billion or $2.99 per share, up from $5.07 billion or $2.54 per share in 2023 [4] Revenue and Expenses - Q4 2024 net revenues were $5.33 billion, a 20% year-over-year increase, beating the Zacks Consensus Estimate of $5.18 billion [5] - Full-year 2024 net revenues grew 4% to $19.61 billion, surpassing the consensus estimate of $19.46 billion [5] - Total non-interest expenses (GAAP basis) decreased 7% to $3.02 billion in Q4 2024 [6] - Adjusted total expenses were $2.85 billion in Q4 2024, relatively stable year-over-year [6] Business Metrics - Total client assets as of Dec 31, 2024, were $10.1 trillion, up 19% year-over-year [8] - Net new assets in Q4 2024 were $108.4 billion [8] - Schwab added 1.11 million new brokerage accounts in Q4 2024, bringing total active brokerage accounts to 36.5 million [8] - The company had 2 million banking accounts and 5.4 million corporate retirement plan participants as of Dec 31, 2024 [8] Profitability and Assets - Pre-tax profit margin increased to 43.3% in Q4 2024 from 26.8% in the prior-year quarter [6] - Annualized return on equity was 18% as of Dec 31, 2024, up from 12% in the prior-year quarter [7] - Average interest-earning assets decreased 3% to $426.4 billion in Q4 2024 [6] Industry Context - Raymond James is scheduled to announce quarterly earnings on Jan 29, with the Zacks Consensus Estimate revised 1.5% upward to $2.75, suggesting a 14.9% rise from the prior-year quarter [11] - LPL Financial is set to announce Q4 and full-year 2024 results on Jan 30, with the Zacks Consensus Estimate for quarterly earnings at $3.88, implying 10.5% growth from the prior-year quarter [12]

Financial Performance - Revenue for Q4 2024 was $5.33 billion, a 19.5% increase YoY [1] - EPS for Q4 2024 was $1.01, compared to $0.68 in the year-ago quarter [1] - Revenue surprise of +2.82% over the Zacks Consensus Estimate of $5.18 billion [1] - EPS surprise of +12.22% over the consensus estimate of $0.90 [1] Key Metrics - Total client assets: $10,101.3 billion vs. $10,030.82 billion estimated [4] - Clients daily average trades - Total: 6.31 million vs. 6 million estimated [4] - Average Interest Earning Assets: $426.44 billion vs. $426.15 billion estimated [4] - Average Client Assets - Total advice Solutions: $698.18 million vs. $673.06 million estimated [4] Revenue Breakdown - Net revenues- Other: $175 million vs. $180.22 million estimated, +19.1% YoY [4] - Net revenues- Bank deposit account fees: $241 million vs. $202.55 million estimated, +38.5% YoY [4] - Net revenues- Net interest revenue: $2.53 billion vs. $2.42 billion estimated, +18.8% YoY [4] - Net revenues- Asset management and administration fees: $1.51 billion vs. $1.52 billion estimated, +21.6% YoY [4] - Net revenues- Trading revenue: $873 million vs. $855.44 million estimated, +13.8% YoY [4] Asset Management and Administration Fees - Schwab money market funds: $389 million vs. $391.06 million estimated, +30.1% YoY [4] - Schwab equity and bond funds, ETFs and collective trust funds (CTFs): $125 million vs. $129.72 million estimated, +27.6% YoY [4] - Mutual Fund OneSource and other non-transaction fee funds: $231 million vs. $231.49 million estimated, +22.9% YoY [4] Stock Performance - Shares of Charles Schwab returned +2.3% over the past month vs. Zacks S&P 500 composite's +1.2% change [3] - The stock currently has a Zacks Rank 2 (Buy), indicating potential outperformance in the near term [3]

Key TakeawaysCharles Schwab shares rose Tuesday after the financial services firm's earnings for the fourth quarter topped estimates.Revenue and profits surged from the same time a year ago as asset management fees set a quarterly record.Trading activity also rose, as the company said "client engagement surged" after the election. Shares of Charles Schwab (SCHW) rose Tuesday morning after the financial services company's fourth-quarter results beat analysts' expectations as trading activity rose and asset m ...

分组1 - The Charles Schwab Corporation reported quarterly earnings of $1.01 per share, exceeding the Zacks Consensus Estimate of $0.90 per share, and up from $0.68 per share a year ago, representing an earnings surprise of 12.22% [1] - The company posted revenues of $5.33 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 2.82%, and compared to year-ago revenues of $4.46 billion [2] - Charles Schwab shares have increased approximately 3.2% since the beginning of the year, outperforming the S&P 500's gain of 2% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $0.93 on revenues of $5.35 billion, and for the current fiscal year, it is $4.03 on revenues of $22.31 billion [7] - The Zacks Industry Rank for Financial - Investment Bank is currently in the top 4% of over 250 Zacks industries, indicating strong performance potential [8] - BGC Group, another company in the same industry, is expected to report quarterly earnings of $0.25 per share, reflecting a year-over-year change of +19.1% [9]

Winter Business Update January 21, 2025 Forward Looking Statements This presentation contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward- looking statements include statements that refer to expectations, projections or other characterizations of future events or circumstances and are identified by words such as "believe," "expect," "will," "may," "should," "could," "estimate," "anticipate," "con ...

The Charles Schwab Corporation SCHW will release its fourth-quarter financial results, before the opening bell, on Tuesday, Jan. 21, 2025.Analysts expect the Westlake, Texas-based company to report quarterly earnings at 91 cents per share, up from 68 cents per share in the year-ago period. Charles Schwab projects quarterly revenue of $5.2 billion, compared to $4.46 billion a year earlier, according to data from Benzinga Pro.On Dec. 13, Charles Schwab said it expects FY24 net revenue to grow by 3.0%-3.5% ver ...

Wall Street analysts forecast that The Charles Schwab Corporation (SCHW) will report quarterly earnings of $0.90 per share in its upcoming release, pointing to a year-over-year increase of 32.4%. It is anticipated that revenues will amount to $5.18 billion, exhibiting an increase of 16.2% compared to the year-ago quarter.Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 2.7% to its current level. This demonstrates the covering analysts' collective reassessment of ...

Stock Performance and Technical Analysis - Shares of The Charles Schwab Corporation (SCHW) have lost 5.8% over the past four weeks [1] - A hammer chart pattern formed in the last trading session, indicating potential support and a trend reversal [1] - The hammer pattern suggests that selling pressure may be exhausted and bulls are gaining control [2][4] - The hammer pattern is characterized by a small candle body and a long lower wick, signaling potential trend reversal during a downtrend [3][4] - The hammer pattern should be used in conjunction with other bullish indicators for confirmation [5] Fundamental Analysis and Earnings Revisions - There has been an upward trend in earnings estimate revisions for SCHW, a bullish fundamental indicator [6] - The consensus EPS estimate for the current year has increased by 2.8% over the last 30 days [7] - SCHW currently holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks [8] - Stocks with a Zacks Rank 1 or 2 typically outperform the market, indicating strong potential for SCHW [8] - The Zacks Rank serves as a timing indicator, suggesting improving prospects for SCHW [8]

Core Viewpoint - The Charles Schwab Corporation (SCHW) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][4]. Earnings Estimates and Ratings - The Zacks rating system focuses on the changing earnings picture, tracking the Zacks Consensus Estimate for EPS from sell-side analysts for the current and following years [2]. - A strong correlation exists between changes in earnings estimates and near-term stock price movements, making the Zacks rating system valuable for investors [3][5]. Impact of Institutional Investors - Institutional investors utilize earnings estimates to determine the fair value of stocks, leading to buying or selling actions that affect stock prices [5]. - The upgrade for Charles Schwab reflects an improvement in its underlying business, which is expected to drive the stock price higher as investors respond positively [6]. Earnings Estimate Revisions - Charles Schwab is projected to earn $3.14 per share for the fiscal year ending December 2024, showing a year-over-year change of 0.3% [9]. - Over the past three months, the Zacks Consensus Estimate for Charles Schwab has increased by 3.4%, indicating a positive trend in earnings estimates [9]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [8]. - The upgrade to Zacks Rank 2 places Charles Schwab in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [11].

The market expects The Charles Schwab Corporation (SCHW) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report. On the othe ...