What is Charles Schwab Financial Strength?
Charles Schwab has the Financial Strength Rank of 4.
GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:
1. The debt burden that the company has as measured by its
Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3.
Altman Z-Score.
4. Other debt related ratios.
A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
GuruFocus does not calculate Charles Schwab's interest coverage with the available data.
Charles Schwab's debt to revenue ratio for the quarter that ended in Dec. 2024 was 2.12.
Altman Z-Score does not apply to banks and insurance companies.
Charles Schwab Financial Strength Calculation
GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors
A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.
1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
Charles Schwab's Interest Expense for the
months ended in Dec. 2024 was $-1,322 Mil. Its Operating Income for the
months ended in Dec. 2024 was $0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2024 was $22,435 Mil.
Charles Schwab's Interest Coverage for the quarter that ended in Dec. 2024 is
The higher the ratio, the stronger the company's financial strength is.
2. Debt to revenue ratio. The lower, the better.
Charles Schwab's Debt to Revenue Ratio for the quarter that ended in Dec. 2024 is
3. Altman Z-Score.
Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
The zones of discrimination were as such:
When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.
Altman Z-Score does not apply to banks and insurance companies.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Charles Schwab Business Description
Traded in Other Exchanges
Address
3000 Schwab Way, Westlake, TX, USA, 76262
Charles Schwab is one of the largest retail-oriented financial services companies in the US, with $10.1 trillion in client assets across its brokerage, banking, asset-management, custody, financial advisory, and wealth-management businesses at year-end 2024. While best known for its retail brokerage offering, Schwab generates the lion's share of its revenue and profits through its Charles Schwab Bank and asset-management segments. The firm is a dominant player in registered investment advisor custody, with over 40% market share, and has recently pushed into wealth management with robo-advisory, direct indexing, and other managed-investment solutions.
Executives
| Carolyn Schwab-pomerantz |
director |
3000 SCHWAB WAY, WESTLAKE TX 76262 |
| Jonathan M. Craig |
officer: Please see remarks |
3000 SCHWAB WAY, WESTLAKE TX 76262 |
| Nigel J Murtagh |
officer: MD, EVP - Corporate Risk |
C/O THE CHARLES SCHWAB CORPORATION, 211 MAIN STREET, SAN FRANCISCO CA 94105 |
| Charles R. Schwab |
director, officer: Co-Chairman |
PO BOX 2226, PALM BEACH FL 33480 |
| Walter W Bettinger |
officer: EVP/COO - Individual Investor |
211 MAIN STREET, SAN FRANCISCO CA 94105 |
| Arun Sarin |
director |
C/O SAFEWAY INC., 5918 STONERIDGE MALL ROAD, PLEASANTON CA 94588 |
| Morgan Peter J. Iii |
officer: General Counsel |
211 MAIN STREET, SAN FRANCISCO CA 94105 |
| Christopher V Dodds |
officer: EVP and CFO |
ITG INC., ONE LIBERTY PLAZA, 165 BROADWAY, NEW YORK NY 10006 |
| Charles A. Ruffel |
director |
3000 SCHWAB WAY, WESTLAKE TX 76262 |
| Richard A Wurster |
officer: President |
3000 SCHWAB WAY, WESTLAKE TX 76262 |
| Bernard J. Clark |
officer: MD, Head of Adivsor Services |
C/O THE CHARLES SCHWAB CORPORATION, 211 MAIN STREET, SAN FRANCISCO CA 94105 |
| Peter B. Crawford |
officer: CFO |
211 MAIN STREET, SAN FRANCISCO CA 94105 |
| Stephen A Ellis |
director |
C/O THE CHARLES SCHWAB CORPORATION, 211 MAIN STREET, SAN FRANCISCO CA 94105 |
| Mark A Goldfarb |
director |
C/O THE CHARLES SCHWAB CORPORATION, 211 MAIN STREET, SAN FRANCISCO CA 94105 |
| Joseph R Martinetto |
officer: MD and COO |
211 MAIN STREET, SAN FRANCISCO CA 94105 |
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
SCHW has been successfully added to your