Schwab (CHARLES) Corp. (The) - SCHW STOCK NEWS

Charles Schwab (NYSE: SCHW) has completed a significant secondary offering where TD Group US Holdings sold 165,443,530 shares at $79.25 per share, totaling $13.1 billion. This offering, combined with a previously announced $1.5 billion share repurchase by Charles Schwab from TD, marks TD's complete exit from its shareholding position.

The secondary offering was led by TD Securities and Goldman Sachs & Co. , with Piper Sandler & Co. serving as financial and capital markets advisor. Following this transaction, Brian M. Levitt and Bharat B. Masrani have resigned from Charles Schwab's board of directors. Notably, Charles Schwab did not receive any proceeds from this share sale.

Charles Schwab has announced the launch of 24-hour trading access for all retail clients, allowing trading of S&P 500, Nasdaq-100 stocks, and hundreds of ETFs 24 hours a day, five days a week through the thinkorswim platform suite. This expansion follows successful pilots conducted at the end of 2024.

The overnight session orders (EXTO) are continuous orders expiring at 8pm ET each market day. During the pilot period from November through January, the most active trading hours were between 8-9pm ET and 3-4am ET. The most actively traded stocks included Tesla (TSLA), NVIDIA (NVDA), Palantir (PLTR), MicroStrategy (MSTR), and AMD.

This development builds upon Ameritrade's 2018 initiative, which first introduced 24/5 trading for about two dozen ETFs. Schwab, which acquired Ameritrade in 2020, currently manages $10.10 trillion in total client assets and facilitates approximately six million daily average trades.

Charles Schwab (NYSE: SCHW) has announced the pricing of a major secondary offering by TD Group US Holdings , an affiliate of The Toronto-Dominion Bank. The offering consists of 165,443,530 shares priced at $79.25 per share, totaling approximately $13.1 billion.

The secondary offering is expected to close on February 12, 2025, subject to customary conditions. Following this offering and a previously announced $1.5 billion share repurchase by Charles Schwab from TD, TD will have completely divested its stake in the company. Charles Schwab will not receive any proceeds from this stock sale.

The offering is being led by TD Securities and Goldman Sachs & Co. A registration statement and preliminary prospectus supplement have been filed with the SEC, with a final prospectus to follow.

Charles Schwab's Trading Activity Index (STAX) declined to 49.45 in January 2025 from 51.16 in December, indicating a 'moderate low' trading activity compared to historical averages. Schwab clients adopted a defensive approach, becoming net sellers in Information Technology and Communications sectors while net buying Energy, Real Estate, and Utilities.

The S&P 500 experienced volatility in January, initially declining amid inflation concerns that pushed the 10-year Treasury yield to 4.8%. Markets later rebounded following benign December inflation data and strong earnings from major sectors. However, the month ended with uncertainty after the Federal Reserve paused rate cuts and news about China's DeepSeek AI technology impacted tech stocks.

Top stocks bought by Schwab clients included NVIDIA, Palantir, Apple, Tesla, and Microsoft, while major sells included Disney, Boeing, Bank of America, Walgreens, and Starbucks.

Charles Schwab (NYSE: SCHW) announced a significant secondary offering where TD Group US Holdings , holding 184.7 million shares (10.1% ownership), will exit its full investment in the company. Additionally, Schwab entered into a $1.5 billion share repurchase agreement with TD, to be executed at the secondary offering price less underwriting discount.

The repurchase will be funded by cash on hand under Schwab's existing share repurchase program, leaving approximately $7.2 billion remaining in the authorized program. The company plans to continue opportunistic repurchases throughout 2025, aligned with its financial objectives. TD Securities and Goldman Sachs will lead the secondary offering, from which Charles Schwab will not receive any proceeds.

Schwab Asset Management has launched its second actively managed fixed income ETF, the Schwab Core Bond ETF (NYSE Arca: SCCR). The ETF began trading today and is modeled after the Wasmer Schroeder Core Bond Separately Managed Account strategy.

The new ETF aims to deliver total return and generate income by investing in various U.S. dollar-denominated debt securities, including corporate bonds, taxable municipal bonds, mortgage pass-through securities, commercial mortgage-backed securities, asset-backed securities, U.S. Treasuries, and other government-related bonds.

Charles Schwab has announced an 8% increase in its quarterly common stock dividend, raising it by 2 cents to $0.27 per share. The dividend will be paid on February 28, 2025 to stockholders of record as of February 14, 2025.

Additionally, the company declared dividends on six series of preferred stock, all payable on March 3, 2025 to stockholders of record as of February 14, 2025. The preferred stock dividends include:

• Series D: $0.372000 per depositary share
• Series G: $13.437500 per depositary share
• Series H: $10.000000 per depositary share
• Series I: $10.000000 per depositary share
• Series J: $0.278250 per depositary share
• Series K: $12.500000 per depositary share

Charles Schwab (SCHW) has been named the #1 Overall Broker in StockBrokers.com's 2025 Annual Awards, marking a significant achievement in the industry's comprehensive evaluation. The assessment covered over 200 variables across seven key categories.

The company secured the top position in nine Category Awards, including Platforms and Tools, Research, Mobile Trading Apps, Education, Ease of Use, and categories for Beginners, Passive Investors, and Casual Investors. Schwab also received Industry Awards for Bond Trading Platform, Client Dashboard, Desktop Trading Platform, Investor App, Overall Client Experience, and Stock Trading Platform.

The company's Schwab Trading Powered by Ameritrade™ platform was highlighted for its comprehensive offering, including desktop, web, and mobile trading platforms, educational resources, specialized trading support, and virtual trading experience through paperMoney®.

Charles Schwab (SCHW) reported strong Q4 2024 results with net income of $1.8 billion and earnings per share of $.94. Core net new assets reached $114.8 billion in Q4, bringing the full-year total to $367 billion, representing a 20% annual increase. Revenue grew 20% year-over-year to $5.3 billion in Q4.

Notable achievements include a 23% year-over-year increase in new brokerage accounts to 1.1 million, bringing total active accounts to 36.5 million. Margin balances grew 15% sequentially to $83.8 billion. The company's adjusted pre-tax profit margin reached 46.6%, while client transactional sweep cash increased by $35 billion versus Q3. Total client assets increased 19% year-over-year to $10.10 trillion.