Charles Schwab executive sells $783,853 in stock

Published 02/05/2025, 21:16
Charles Schwab executive sells $783,853 in stock

Craig Jonathan M., Managing Director and Head of Investor Services at Charles Schwab Corp (NYSE:SCHW), a prominent player in the Capital Markets industry with a market capitalization of $151 billion, recently executed a significant stock transaction. On May 1, 2025, Craig sold 9,559 shares of the company’s common stock, generating a total of $783,853. The shares were sold at an average price of $82.0016, within a range from $82.00 to $82.02. This transaction was carried out under a Rule 10b5-1 trading plan that Craig adopted on October 31, 2024. The sale occurred as the stock trades near its 52-week high of $84.50, with the company showing strong revenue growth of 11% over the last twelve months.

Alongside the sale, Craig exercised a nonqualified stock option to acquire 9,559 shares at a price of $42.99 per share, totaling $410,941. The shares acquired through this option exercise were subsequently contributed to a revocable trust. These options were granted under Charles Schwab’s 2013 Stock Incentive Plan, vesting in four equal annual installments.

This series of transactions reflects a strategic financial move by Craig, aligning with his pre-established trading plan.

In other recent news, Charles Schwab Corp (BVMF:SCHW34). has reported notable developments that may interest investors. The company’s recent earnings report revealed an adjusted earnings per share (EPS) of $1.04, surpassing both Keefe Bruyette & Woods’ estimate and the consensus estimate of $1.01. This positive earnings surprise was driven by increased revenues and a lower tax rate, though slightly offset by higher expenses. Following this, Keefe Bruyette & Woods raised their price target for Charles Schwab to $93, maintaining an Outperform rating. Additionally, TD Cowen adjusted their price target to $95, influenced by the company’s strong first-quarter earnings and consistent management execution.

Goldman Sachs also upgraded Charles Schwab from Neutral to Buy, setting a price target of $100, citing robust and sustainable EPS growth. The firm highlighted a projected compound annual growth rate of 25% through 2027, driven by balance sheet stabilization and effective risk management. Meanwhile, Truist Securities slightly reduced their price target to $84, maintaining a Buy rating despite economic uncertainty. They retained their GAAP EPS estimates for 2025 and 2026, reflecting confidence in the company’s underlying business strength.

Moreover, Charles Schwab declared a regular quarterly cash dividend of $0.27 per common share, reflecting its ongoing commitment to shareholder value. The company also announced dividends on several series of preferred stock, payable in June 2025. These recent developments underscore Charles Schwab’s financial performance and strategic positioning in the market.

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