On May 3, 2023 at 11:39:56 ET an unusually large $375.31K block of Call contracts in Charles Schwab (SCHW) was bought, with a strike price of $50.00 / share, expiring in 79 day(s) (on July 21, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 1.87 sigmas above the mean, placing it in the 96.70th percentile of all recent large trades made in SCHW options.

This trade was first picked up on Fintel’s real time Options Flow tool, where unusual option trades are highlighted.

What is the Fund Sentiment?

There are 2786 funds or institutions reporting positions in Charles Schwab. This is an increase of 65 owner(s) or 2.39% in the last quarter. Average portfolio weight of all funds dedicated to SCHW is 0.77%, an increase of 2.38%. Total shares owned by institutions increased in the last three months by 13.10% to 1,830,511K shares. The put/call ratio of SCHW is 0.90, indicating a bullish outlook.

Analyst Price Forecast Suggests 36.92% Upside

As of April 24, 2023, the average one-year price target for Charles Schwab is $68.60. The forecasts range from a low of $51.51 to a high of $84.00. The average price target represents an increase of 36.92% from its latest reported closing price of $50.10.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Charles Schwab is $23,757MM, an increase of 12.03%. The projected annual non-GAAP EPS is $4.95.

What are Other Shareholders Doing?

JNL SERIES TRUST – JNL holds 405K shares representing 0.02% ownership of the company. In it’s prior filing, the firm reported owning 406K shares, representing a decrease of 0.20%. The firm increased its portfolio allocation in SCHW by 3.87% over the last quarter.

YorkBridge Wealth Partners holds 4K shares representing 0.00% ownership of the company. In it’s prior filing, the firm reported owning 5K shares, representing a decrease of 6.95%. The firm decreased its portfolio allocation in SCHW by 99.89% over the last quarter.

BPAIX – Boston Partners All-Cap Value Fund INSTITUTIONAL holds 228K shares representing 0.01% ownership of the company. In it’s prior filing, the firm reported owning 244K shares, representing a decrease of 7.05%. The firm decreased its portfolio allocation in SCHW by 4.40% over the last quarter.

Steward Partners Investment Advisory holds 78K shares representing 0.00% ownership of the company. In it’s prior filing, the firm reported owning 75K shares, representing an increase of 3.57%. The firm increased its portfolio allocation in SCHW by 9.40% over the last quarter.

Waldron Private Wealth holds 12K shares representing 0.00% ownership of the company. In it’s prior filing, the firm reported owning 12K shares, representing an increase of 3.05%. The firm increased its portfolio allocation in SCHW by 58,729.78% over the last quarter.

Charles Schwab Declares $0.25 Dividend

On April 26, 2023 the company declared a regular quarterly dividend of $0.25 per share ($1.00 annualized). Shareholders of record as of May 12, 2023 will receive the payment on May 26, 2023. Previously, the company paid $0.25 per share.

At the current share price of $50.10 / share, the stock’s dividend yield is 2.00%. Looking back five years and taking a sample every week, the average dividend yield has been 1.35%, the lowest has been 0.67%, and the highest has been 2.53%. The standard deviation of yields is 0.40 (n=237).

The current dividend yield is 1.60 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is 0.25. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 0.39%, demonstrating that it has increased its dividend over time.

Charles Schwab Background Information
(This description is provided by the company.)

Charles Schwab believes in the power of investing to help individuals create a better tomorrow. The company has a history of challenging the status quo in its industry, innovating in ways that benefit investors and the advisors and employers who serve them, and championing its clients’ goals with passion and integrity.

See all Charles Schwab regulatory filings.

This article originally appeared on Fintel