Schwab’s (SCHW) Latest Move Proves Its Moat Is Doing Its Job

What happened: Charles Schwab (NYSE:SCHW) ranked 8th on Insider Monkey's list of 10 Best and Cheap Stocks to Buy Heading into 2027, cited for its valuation and popularity among hedge funds. Key numbers: Forward P/E of 11; expected 2027 revenue growth around 17%; core net new assets hit a record $190 billion in Q3, up 38% year over year; adjusted pre-tax profit margin of 54.8%; bank loan balances grew 35%. Why it matters: The article says client asset growth is turning into profit faster than costs are rising, and the CFO expects the interest margin to keep widening into 2027. Market: +1.8% today ($251.31), +11.0% YTD, 0.4x vol — as of 19:03 UTC

Charles Schwab (NYSE:SCHW) ranked 8th on Insider Monkey's list of 10 Best and Cheap Stocks to Buy Heading into 2027, cited for its valuation and popularity among hedge funds.

The article says client asset growth is turning into profit faster than costs are rising, and the CFO expects the interest margin to keep widening into 2027. Market: +1.8% today ($251.31), +11.0% YTD, 0.4x vol — as of 19:03 UTC