Goldman Sachs Upgrades Charles Schwab (SCHW) to 'Buy' with a $100 Target | SCHW Stock News

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Apr 25, 2025
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Goldman Sachs has shifted its stance on Charles Schwab (SCHW, Financial), upgrading the financial services company's rating from 'Neutral' to 'Buy'. The investment bank has set a new target price of $100, suggesting a potential 27% increase from the current stock valuation.

In the face of ongoing economic uncertainties, Schwab is distinguished by its robust earnings growth prospects. Analysts at Goldman Sachs project that Schwab's earnings could grow at an annual rate of 25% through the year 2027. This optimistic outlook is bolstered by the company's recent moves to stabilize its balance sheet, which in turn is expected to enhance net interest income.

Moreover, Schwab's management has implemented strategic hedging measures to mitigate the impact of declining short-term interest rates, further positioning the company for favorable financial performance in the coming years.

Wall Street Analysts Forecast

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Based on the one-year price targets offered by 19 analysts, the average target price for Charles Schwab Corp (SCHW, Financial) is $87.32 with a high estimate of $103.00 and a low estimate of $65.00. The average target implies an upside of 10.00% from the current price of $79.38. More detailed estimate data can be found on the Charles Schwab Corp (SCHW) Forecast page.

Based on the consensus recommendation from 23 brokerage firms, Charles Schwab Corp's (SCHW, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.

Based on GuruFocus estimates, the estimated GF Value for Charles Schwab Corp (SCHW, Financial) in one year is $87.80, suggesting a upside of 10.61% from the current price of $79.38. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Charles Schwab Corp (SCHW) Summary page.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.