The Charles Schwab Corporation (SCHW)

FairStock Score: 63/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I see Charles Schwab as a high-quality financial franchise with a simple but powerful position: it gathers assets, serves both individual investors and independent advisors, and earns fees and spread income across brokerage, banking, and asset management. The filed numbers show momentum. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $7.1B, net income was $2.8B, and diluted EPS was $1.54, compared with $5.9B, $2.1B, and $1.08 in fiscal Q2 2025. FY2025 revenue was $23.9B, net income $8.9B, and diluted EPS $4.65, versus $19.6B, $5.9B, and $2.99 in FY2024. That is real growth, and a 39.59% net margin in the latest quarter suggests scale and pricing power. At $89.73 on 2026-10-26, FairStock's P/E is 16.34 and P/B is 3.53; ROE is 20.27%. A 3.5 times book multiple is not Graham cheap, but a 20% return on equity and a 0.52 PEG provide some justification if growth holds. The balance sheet has D/E of 1.51—normal-ish for a financial but still leverage to respect. The Piotroski F-score of 6/9 is decent, not flawless. I cannot assess CET1, net interest margin, or a combined ratio from this data; for a bank-like broker those are essential. Overall, this looks like a strong business with a durable asset-gathering model, reasonably valued rather than bargain-priced. I would want evidence that growth is not merely cyclical and that leverage remains controlled.

In plain English: Charles Schwab helps people and financial advisors invest, trade, bank, and manage money. The business looks strong: in the quarter ended June 30, 2026, it earned $2.8 billion on $7.1 billion of revenue, and profits have been rising. At $89.73, the shares look fair to modestly cheap compared with profits and growth, though not cheap compared with the company's underlying assets.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer