The Charles Schwab Corporation (SCHW) on April 15, 2016 announced that its net income for the first quarter of 2016 was $412 million, comparable to $416 million for the fourth quarter of 2015, and up 36% from $302 million for the first quarter of 2015.
CEO Walt Bettinger said, “Through periods of volatility, we continue to see strong client engagement and demand for Schwab’s contemporary, full-service wealth management capabilities. Investors faced sharp market swings during the first quarter, as the major equity indices fell by double-digit percentages and subsequently recovered. Clients consistently turn to us for help navigating conditions like these – over 33,000 accounts enrolled in one of our retail advisory solutions during the quarter, comparable to the fourth quarter 2015 total. At March-end, 567,000 accounts were enrolled in a Schwab® advice program, up 11% year-over-year. In addition, our financial consultants held 34,000 planning conversations during the quarter, up 36%. We ended March with 9.9 million active brokerage accounts, 1.0 million banking accounts, and 1.5 million retirement plan participants, up 4%, 6% and 4%, respectively, from the prior year. Clients brought $32.0 billion of core net new assets to Schwab in the first three months of 2016, representing a solid 5% annualized organic growth rate in the midst of fluctuating asset valuations. While the company has gathered $132.5 billion in core net new assets over the last 12 months, total client assets ended March at $2.56 trillion, up 1% from a year ago, reflecting the challenging environment for equity valuations.”
Mr. Bettinger noted, “Our products, services, and people earned us recognition among Fortune’s top 50 Most Admired Companies in 2016. We also ranked highest in J.D. Power’s 2016 U.S. Full-Service Investor Satisfaction Study, which together with our top rank in the 2015 J.D. Power Self-Directed Investor Satisfaction Study, reinforces Schwab’s ability to meet a broad range of investor needs. In addition, the Museum of American Finance recently honored our founder and Chairman, Chuck Schwab, with its Financial Innovation Award. Chuck’s original vision of finding a better way for investors still drives the firm’s growth initiatives.”
The Charles Schwab Corporation earnings per share showed an increasing trend of 7.2% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 155%.Analysts project EPS growth over the next 5 years at 20.55%. It has EPS annual growth over the past 5 fiscal years of 22% when sales grew 7.6. It reported 16.3% sales growth, and 34% EPS growth in the last quarter.
The stock is trading at $30.58, up 42.52% from 52-week low of $21.51. The stock trades down -13.79% from its peak of $35.72 and 6.28% above the consensus price target of $32.5. Its volume clocked up at 7.56 million shares which is lower than the average volume of 8.1 million shares. Its market capitalization currently stands at $40.48B.
0 yorum:
Yorum Gönder