BUZZ-Street View: Charles Schwab's business strategies bearing fruit
** Brokerage firm Charles Schwab SCHW.N on Tuesday reported Q4 profit beat, helped by a jump in asset management fees
** Median PT of 23 brokerages is $71 - LSEG data
BROKERAGES OPTIMISTIC AS NET NEW ASSETS GROW
** TD Cowen ("hold," PT: $88) holds an optimistic view on SCHW's strategies to reduce high-cost funding, a key driver of future earnings growth
** J.P.Morgan ("overweight", PT: $93) says strong net new assets(NNA) could help the firm pay down higher cost short-term borrowings as growth headwinds from TD Ameritrade integration continue to fade
** Citigroup ("neutral" PT: $85) sees NNA growth to accelerate as SCHW customers are increasingly using Ameritrade offerings
** Raymond James ("outperform," PT: $88) sees a reduction in high-cost funding by 2025-end, which could help improve net interest income and earnings-per-share
(Reporting by Rashika Singh in Bengaluru)
((rashika.singh@thomsonreuters.com))
Related Articles
What to Watch in Nvidia’s Q2 FY2026 Earnings: AI Growth, Margins, and Market Impact
TradingKey - NVIDIA Corporation (NASDAQ: NVDA) will report its Q2 FY2026 earnings on Wednesday, August 27, 2025, after the U.S. market closes. The earnings call is scheduled for 5:00 p.m. Eastern Time. With Nvidia being a bellwether in AI, gaming, and data center markets, and carrying significant...
U.S. July PCE and Q2 GDP Preview: With Rate Cuts Looming, Will U.S. Stocks Continue to Rise?
TradingKey - On 28-29 August 2025, the U.S. will release July PCE and Q2 GDP data. Market expectations suggest both headline and core PCE will rise 0.3% month-over-month, consistent with June figures. For growth, in line with the preliminary estimate on 30 July, the revised Q2 annualised real GDP gr
U.S. Dollar Index: Assessing Its Future Trend Through Macro Analysis of the U.S., Eurozone, Japan, and U.K.
TradingKey - Looking ahead, in the U.S., slowing economic growth combined with ongoing interest rate cuts will exert downward pressure on the dollar. In the Eurozone, weak economic performance and continued ECB rate cuts will likely depreciate the euro, indirectly supporting the U.S. Dollar Index...
Powell's Jackson Hole Speech: For U.S. Stocks, Hawk or Dove Signal Could Be a Lose-Lose?
TradingKey - As U.S. inflation and labor market data show signs of rebalancing, Treasury traders and Wall Street banks have largely priced in a rate cut at the September FOMC meeting — the first of 2025. Yet both a more dovish-than-expected tone and a potential surprise hawkish signal from Fed Chair
Eurozone Q2 GDP Commentary: Will the Euro's Upward Momentum Persist?
TradingKey - On 14 August 2025, Eurostat published Q2 GDP figures, revealing a drop in the Eurozone's quarter-on-quarter growth from 0.6% in the first quarter to 0.1%. Consequently, annual growth eased from 1.5% to 1.4%. The slowdown primarily stems from the diminishing boost from European...
