Growth Analysis of The Charles Schwab Corporation (NYSE:SCHW)


Quarterly Sales and EPS Roundup:

The Charles Schwab Corporation (NYSE:SCHW) reported sales (ttm) of 7.35 Billion, whereas, 16 number of analysts estimated the mean sale of 1957.75 million. The analysts estimated sales for the higher end at 1999 million and lower end at 1930 million while the year ago reported sale was 1995.43 million.

11 number of analysts have estimated the sales of the company for the quarter ending Jan 17, 2017- Jan 23, 2017, analysts estimated mean sale target of 2027.95 million while high and low sale targets are estimated at 2084 million and 1928 million respectively.

The Charles Schwab Corporation (NYSE:SCHW) reported earning per shares for the quarter ending Oct 17 BMO at 0.35, whereas, 20 number of analysts estimated the mean EPS at 0.35. The analysts estimated EPS for the higher end at 0.36 and lower end at 0.33 while the year ago reported earnings per share was 0.39.

The company has mean EPS estimate of 0.36 reported by 16 number of analyst for the quarter ending Jan 17, 2017- Jan 23, 2017. The analysts estimated mean EPS at 0.36 while the high and low EPS estimate stand at 0.39 and 0.32 respectively. In contrast to the year ago quarter EPS was at 0.39. EPS long term mean growth rate estimated by 5 analysts is at 21.25%, whereas, the high and low Long term growth rate estimated at 29 and 17.

Valuation Ratios of The Charles Schwab Corporation (NYSE:SCHW) versus the Industry and Sector:

Let’s have a look at some of the important valuation ratios of the The Charles Schwab Corporation (NYSE:SCHW). These ratios are important while doing valuation of the company or the shares of the company.

The Charles Schwab Corporation (NYSE:SCHW) currently has P/E (Price to Earnings) ratio of 30.83 while the company’s industry has 45.07 P/E and the sector P/E is 15.83. Similarly, the company’s last 5 years high P/E ratio is 33.29 and low P/E is 16.02, whereas, the industry’s and sector’s  high P/E for the past year is 553.56 and 26.4 respectively and low P/E ratio for the last 5 years is 40.7 for the industry and 12.02 for the Sector.

Beta is also an important valuation ratio for analyzing the stock of the company, 9 has Beta of 1.73 while its industry and Sector’s beta remains at 1.77 and 1.49 respectively.

Price to Sale ratio of 9 stands at 6.87 while Price to Book Ratio stands at 3.8. Its Price to Cash Flow ratio shows the value of 26.91, whereas, the industry and sector ratio of Price to Cash Flow ticked at 37.89 and 12.98 respectively.

5 Year Growth Rate Analysis:

Growth rates are very important while analyzing the long term growth and valuation of a certain company.

5 year sales growth rate is an important factor for valuation analysis, the 5 year sales growth of The Charles Schwab Corporation (NYSE:SCHW) stands at 7.59 while the industry’s and the sector’s growth for next 5 years ticked at 10.75 and 15.32 respectively. The company’s 5 year Earnings per share growth and Capital Spending growth remains at 22.01 and 15.57.

The Charles Schwab Corporation (NYSE:SCHW) Trading Statistics:

The company surged 0.52% and closed its last trading session at $38.46. The market capitalization of the company is at $51.25 Billion. The stock touched 52-week High of $39.35 on Nov 30, 2016 and 52-week Low of $21.51 on Feb 11, 2016. The stock currently has Weekly Volatility of 1.69% and Monthly Volatility of 2.40%. The Beta for the company stands at 1.75 and its Average True Range (ATR) shows a value of 0.84.