BofA analyst Craig Siegenthaler lowered the firm’s price target on Charles Schwab (SCHW) to $60 from $74 and keeps an Underperform rating on the shares. The significant rise in short-term interest rates over the last 12 months is creating major issues in financial services, which is putting capital intensive financial institutions with long-term assets in difficult situations and drove the collapses at both Silicon Valley Bank (SIVB) and Silvergate (SI) last week, the firm tells investors. The firm continues to believe a similar dynamic will also drive downside to market expectations for Schwab’s net interest revenues through 2025 and BofA is reducing its earnings estimates due to this forecast for lower net interest revenues.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter
Published first on TheFly
See Insiders’ Hot Stocks on TipRanks >>
Read More on SCHW:
- Buy the Dip in Banks? Morgan Stanley Disagrees
- SCHW Bleeding Continues Even after Analyst Upgrade
- Charles Schwab upgraded to Buy from Neutral at Citi
- ‘Buy the Dip in Bank Stocks,’ Goldman Sachs Says. Here Are 2 Names to Consider
- Charles Schwab Sell-Off Continues
Looking for a trading platform? Check out TipRanks' Best Online Brokers , and find the ideal broker for your trades.
Report an Issue