BUZZ - Broker’s Perspective: Despite Mixed Outlook, Charles Schwab’s Growth Momentum Remains Strong

October 16 - ** Financial services and brokerage firm Charles Schwab (SCHW.N) on Thursday reported third-quarter revenue below (link) expectations

** The company reported third-quarter revenue of $7.17 billion, lower than analyst expectations of $7.18 billion — according to data compiled by the London Stock Exchange Group (LSEG)

** The median target price given by 25 brokerages covering the stock is $125.44 — according to data compiled by LSEG

Not a barrier

** JPMorgan (rating "Overweight", target price: $147) said that despite some short-term headwinds and offset factors, the 2027 fundamentals remain constructive, and improvements in asset sensitivity and rate dynamics are expected to support further profit growth

** Raymond James (rating "Outperform", target price: $125) pointed out that strong account growth and continued net new asset inflows are propelling business momentum, while a favorable interest rate environment should support the net interest margin

** Citizens Bank ("Outperform", target price: $120) said Schwab's record organic growth, stronger revenue structure, and strict cost control have fully offset the short-term slowdown in net interest margin growth, and expects the net interest margin to further expand in the medium term

** Deutsche Bank ("Buy", target price: $125) said Schwab's short-term outlook for net interest margin and revenue growth is mixed, but its long-term growth trajectory remains unchanged

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