An Overview of Charles Schwab's Earnings

Charles Schwab (NYSE:SCHW) is preparing to release its quarterly earnings on Thursday, 2025-10-16. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Charles Schwab to report an earnings per share (EPS) of $1.24.

Charles Schwab bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Earnings Track Record

In the previous earnings release, the company beat EPS by $0.06, leading to a 0.0% drop in the share price the following trading session.

Here's a look at Charles Schwab's past performance and the resulting price change:

Charles Schwab Share Price Analysis

Shares of Charles Schwab were trading at $93.39 as of October 14. Over the last 52-week period, shares are up 30.93%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Opinions on Charles Schwab

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Charles Schwab.

The consensus rating for Charles Schwab is Outperform, derived from 13 analyst ratings. An average one-year price target of $109.54 implies a potential 17.29% upside.

Peer Ratings Comparison

In this comparison, we explore the analyst ratings and average 1-year price targets of Interactive Brokers Group and LPL Finl Hldgs, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• Analysts currently favor an Outperform trajectory for Interactive Brokers Group, with an average 1-year price target of $76.0, suggesting a potential 18.62% downside.
• Analysts currently favor an Outperform trajectory for LPL Finl Hldgs, with an average 1-year price target of $432.0, suggesting a potential 362.58% upside.

Peer Metrics Summary

In the peer analysis summary, key metrics for Interactive Brokers Group and LPL Finl Hldgs are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Charles Schwab ranks at the top for Gross Profit and Return on Equity among its peers. It ranks in the middle for Revenue Growth and Consensus.

Delving into Charles Schwab's Background

Charles Schwab is one of the largest retail-oriented financial services companies in the US, with $10.1 trillion in client assets across its brokerage, banking, asset-management, custody, financial advisory, and wealth-management businesses at year-end 2024. While best known for its retail brokerage offering, Schwab generates the lion's share of its revenue and profits through its Charles Schwab Bank and asset-management segments. The firm is a dominant player in registered investment advisor custody, with over 40% market share, and has recently pushed into wealth management with robo-advisory, direct indexing, and other managed-investment solutions.

Breaking Down Charles Schwab's Financial Performance

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Positive Revenue Trend: Examining Charles Schwab's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 24.75% as of 30 June, 2025, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Financials sector.

Net Margin: Charles Schwab's net margin excels beyond industry benchmarks, reaching 33.79%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Charles Schwab's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 4.76%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Charles Schwab's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.43%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.88.

To track all earnings releases for Charles Schwab visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.