The Market Is Too Optimistic On Charles Schwab (Archive)
Wall Street keeps overestimating Schwab’s earnings power despite clear fundamental headwinds.
This 5-Minute Pitch was originally published on Seeking Alpha before the launch of the Hunting Alphas website. It is shared here to showcase my previous work and track record. New 5-Minute Pitches published on this site will not be disseminated anywhere else.
Elevator Pitch
- My views on Charles Schwab have been quite balanced, and my last 'neutral/hold' rating has worked out. But now I am changing my stance based on new data.
- On the positive side, cash sorting trends are improving.
- But growth in core net new assets is unusually low.
- Asset management business is punching below its weight.
- The consensus view is set for disappointment.
Read the full article here.
Disclosures and Disclaimers
Past performance ≠ future results. Not investment advice. See full Disclaimer.
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