UBS Sees Strong Cash Generation and Capital Growth at Charles Schwab (SCHW)

The Charles Schwab Corporation (NYSE:SCHW) ranks among the biggest publicly traded asset managers. UBS boosted its price target for The Charles Schwab Corporation (NYSE:SCHW) to $125 from $123 on January 22, maintaining a Buy rating on the company. The hike follows Charles Schwab’s Q4 2025 results, which showed earnings per share roughly in line with expectations, although revenues fell somewhat lower than expected.

UBS raised its forecasts for 2026, 2027, and 2028 by about 2% owing to solid 2026 guidance and strong core key performance metrics like cash generation, capital growth, and core net new assets.

The firm observed that management’s guidance is conservative, with opportunity for growth across various categories. UBS believes that The Charles Schwab Corporation (NYSE:SCHW) will deliver a 17% compound annual earnings-per-share growth rate through 2028, with further growth opportunities from efforts yet to be included in consensus projections.

The Charles Schwab Corporation (NYSE:SCHW) is a savings and loan holding company that engages in securities brokerage, wealth management, custody, asset management, and financial advisory services.

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Disclosure: None. This article is originally published at Insider Monkey.