Charles Schwab’s Strong Financial Performance and Strategic Positioning Justify Buy Rating with USD 95 Target Price

In a report released today, Ken Shih from DBS maintained a Buy rating on Charles Schwab (SCHW – Research Report), with a price target of $95.00.

Ken Shih has given his Buy rating due to a combination of factors including Charles Schwab’s strong financial performance and strategic positioning. The company reported impressive revenue and earnings growth in the fourth quarter of 2024, surpassing market expectations. This growth is supported by a robust recovery in net interest margin and a promising earnings outlook for fiscal year 2025, driven by the integration of TD Ameritrade.
Furthermore, Charles Schwab’s market leadership and comprehensive service offerings position it well to capture a larger share of the U.S. wealth market. The firm’s online-focused model enhances its operational efficiency, allowing it to maintain a competitive edge. With the anticipated stabilization of net interest income and the completion of cash-sorting activities, the company is poised for continued asset growth and profitability, justifying the Buy rating with a target price of USD 95.

In another report released on April 25, Goldman Sachs also upgraded the stock to a Buy with a $100.00 price target.