Financial services giant Charles Schwab (NYSE: SCHW) will be reporting earnings this Thursday before market open. Here’s what investors should know.
Charles Schwab missed analysts’ revenue expectations last quarter, reporting revenues of $6.34 billion, up 18.9% year on year. It was a mixed quarter for the company, with .
Is Charles Schwab a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Charles Schwab’s revenue to grow 15.9% year on year, slowing from the 18.1% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Charles Schwab has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Charles Schwab’s peers in the capital markets segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Goldman Sachs delivered year-on-year revenue growth of 14.4%, beating analysts’ expectations by 1%, and Jefferies reported revenues up 26.6%, topping estimates by 1.4%. Goldman Sachs’s stock price was unchanged after the resultswhile Jefferies was up 1.6%.
Read our full analysis of Goldman Sachs’s results here and Jefferies’s results here.
There has been positive sentiment among investors in the capital markets segment, with share prices up 9.5% on average over the last month. Charles Schwab is up 5.3% during the same time and is heading into earnings with an average analyst price target of $116.85 (compared to the current share price of $98.63).
ONE MORE THING: 3 Hidden Platforms Growing 3X Faster than Amazon, Google, and PayPal. Amazon, Google, and Meta all followed the same playbook: Dominate an ignored market. Build an unbeatable moat. Scale until you’re unstoppable.
These three platforms are running that exact playbook right now. The early investors in Amazon made fortunes. The early investors in these could do the same. Get All 3 Stocks Here for FREE.
