Charles Schwab Corp. (SCHW) is gaining analyst attention amid shifting interest rate expectations, with multiple firms upgrading the stock based on strong client retention and diversified revenue streams. Despite macroeconomic uncertainty, SCHW’s performance metrics suggest resilience.
- Charles Schwab reported $1.5 billion in net new client assets in Q4 2025.
- Average client account balances rose 9.3% year-over-year to $14.6 trillion in AUM.
- SCHW’s net interest income declined 7% in Q4 2025 due to rate cuts, but advisory fees grew 11%.
- Multiple analysts upgraded SCHW to 'Buy' or 'Outperform' in January 2026.
- The firm's digital platform engagement increased 18% in 2025, indicating strong client stickiness.
- SCHW's operating margin improved to 34.2% in Q4 2025, up from 32.7% a year earlier.
Charles Schwab (SCHW) is emerging as a standout in the financial services sector, with analysts highlighting sustained growth potential despite ongoing uncertainty around U.S. interest rate policy. The brokerage and wealth management firm reported $1.5 billion in net new client assets in Q4 2025, a 12% increase from the prior year, signaling robust demand for its advisory and investment platforms. This growth was driven by a 9.3% year-over-year rise in average client account balances, reaching $14.6 trillion in total assets under management (AUM).