Charles Schwab Corporation (SCHW) has recently garnered attention due to a series of analyst upgrades and strategic shifts to enhance growth and shareholder value.
Citi’s Upgrade and Strategic Outlook
On April 2, 2025, Citi upgraded Charles Schwab’s stock from “Neutral” to “Buy,” raising the price target to $102—a 31% premium over the previous close. Analyst Christopher Allen highlighted Schwab’s transition to a growth-oriented strategy, emphasizing the successful integration of the $26 billion Ameritrade acquisition and plans for increased investment spending. Allen also pointed to improved capital returns and progress in reducing short-term debt as positive developments for the company’s balance sheet.
Financial Performance and Client Growth
In February 2025, Schwab reported a 44% year-over-year increase in core net new assets, totaling $48 billion. Total client assets reached $10.28 trillion, with 362,000 new brokerage accounts opened that month—marking 15 consecutive months of over 300,000 new account openings.
Other Analyst Perspectives
In December 2024, Barclays upgraded Schwab from “Equal Weight” to “Overweight,” setting a price target of $95. This upgrade was based on expectations of improved net interest income and margins, as well as the resolution of client departures following the Ameritrade merger.
Future Initiatives
Looking ahead, Schwab plans to introduce spot cryptocurrency trading later in 2025, pending regulatory approval. This move aims to enhance competitiveness with other brokers offering similar services.
These developments reflect Schwab’s proactive approach to growth and its commitment to delivering value to shareholders.
