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SCHW (Charles Schwab) 5-Year RORE % : 0.32% (As of Jun. 2024)


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What is Charles Schwab 5-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Charles Schwab's 5-Year RORE % for the quarter that ended in Jun. 2024 was 0.32%.

The industry rank for Charles Schwab's 5-Year RORE % or its related term are showing as below:

SCHW's 5-Year RORE % is ranked worse than
60.85% of 705 companies
in the Capital Markets industry
Industry Median: 10.49 vs SCHW: 0.32

Charles Schwab 5-Year RORE % Historical Data

The historical data trend for Charles Schwab's 5-Year RORE % can be seen below:

* 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.

* Premium members only.

Charles Schwab 5-Year RORE % Chart

Charles Schwab Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
5-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 23.13 10.53 13.81 10.37 -1.34

Charles Schwab Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
5-Year RORE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.02 -1.34 -1.77 0.32 -

Competitive Comparison of Charles Schwab's 5-Year RORE %

For the Capital Markets subindustry, Charles Schwab's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Charles Schwab's 5-Year RORE % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Charles Schwab's 5-Year RORE % distribution charts can be found below:

* The bar in red indicates where Charles Schwab's 5-Year RORE % falls into.



Charles Schwab 5-Year RORE % Calculation

Charles Schwab's 5-Year RORE % for the quarter that ended in Jun. 2024 is calculated as:

5-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 5-year -Cumulative Dividends per Share for 5-year )
=( 2.56-2.16 )/( 13.64-4.2 )
=0.4/9.44
=4.24 %

* 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.

In the calculation of 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Jun. 2024 and 5-year before.


Charles Schwab  (NYSE:SCHW) 5-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Charles Schwab 5-Year RORE % Related Terms

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Charles Schwab Business Description

Address
3000 Schwab Way, Westlake, TX, USA, 76262
Charles Schwab operates in brokerage, wealth management, banking, and asset management. It runs a large network of brick-and-mortar brokerage branch offices and a well-established online investing website, and it has mobile trading capabilities. It also operates a bank and a proprietary asset-management business and offers services to independent investment advisors. Schwab is among the largest firms in the investment business, with over $8 trillion of client assets at the end of December 2023. Nearly all of its revenue is from the United States.
Executives
Carolyn Schwab-pomerantz director 3000 SCHWAB WAY, WESTLAKE TX 76262
Charles R. Schwab director, officer: Co-Chairman PO BOX 2226, PALM BEACH FL 33480
Richard A Wurster officer: President 3000 SCHWAB WAY, WESTLAKE TX 76262
Walter W Bettinger officer: EVP/COO - Individual Investor 211 MAIN STREET, SAN FRANCISCO CA 94105
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
Morgan Peter J. Iii officer: General Counsel 211 MAIN STREET, SAN FRANCISCO CA 94105
Nigel J Murtagh officer: MD, EVP - Corporate Risk C/O THE CHARLES SCHWAB CORPORATION, 211 MAIN STREET, SAN FRANCISCO CA 94105
Arun Sarin director C/O SAFEWAY INC., 5918 STONERIDGE MALL ROAD, PLEASANTON CA 94588
Joseph R Martinetto officer: MD and COO 211 MAIN STREET, SAN FRANCISCO CA 94105
Mark A Goldfarb director C/O THE CHARLES SCHWAB CORPORATION, 211 MAIN STREET, SAN FRANCISCO CA 94105
Adams John K Jr director 300 CONTINENTAL DRIVE, NEWARK DE 19713
Jonathan M. Craig officer: Please see remarks 3000 SCHWAB WAY, WESTLAKE TX 76262
Frank C Herringer director