NYSE$SCHW
Charles Schwab Corp · Q4 2020 earnings
Q4 2020 earnings · · Investor relations
Briefing
Charles Schwab reported Q4 2020 earnings with increased revenue and adjusted EPS, driven by record client engagement and the acquisition of TD Ameritrade.
Charles Schwab reported a strong fourth quarter in 2020, marked by record operating performance and the closing of the TD Ameritrade acquisition. Net income for the quarter was $1.1 billion, or $0.57 per share, while adjusted EPS reached $0.74. The company saw record client engagement, contributing to a significant rise in core net new assets and total client assets.
- Schwab's net income for Q4 2020 was $1.1 billion, or $0.57 per share, compared to $852 million in Q4 2019.
- Adjusted EPS for Q4 2020 was $0.74, up from $0.63 in Q4 2019.
- Core net new assets rose 33% to a record $281.9 billion for the year, including $61.7 billion in December.
- Total client assets reached a record $6.69 trillion at year-end, up 66% from a year ago.
Headline financials
Revenue & EPS history
Charles Schwab · Revenue · Quarterly
$4.18B
Revenue by segment
Charles Schwab · $3.82B total across 4 segments · Q4 2020
- Net Interest Revenue$1.81B—47.3%
- Asset Mgmt/Admin Fees$987M—25.8%
- Trading Revenue$854M—22.4%
- Other Revenue$171M—4.5%
Forward guidance
Charles Schwab's management provided forward guidance indicating a focus on integrating TD Ameritrade, managing expenses, and continuing to invest in technology and client experience.
Tailwinds
- Successful integration of TD Ameritrade is expected to yield significant revenue and expense synergies.
- Continued investments in technology are aimed at improving both the client experience and operational efficiency.
- Focus on building a strong balance sheet to support the business in varying economic environments.
- Commitment to managing expenses while driving strategic progress.
- Dedication to serving clients with clarity and focus, regardless of market circumstances.
Headwinds
- Ongoing uncertainty related to the COVID-19 pandemic and its potential impact on markets and client behavior.
- Potential for continued low interest rates to pressure net interest revenue.
- Challenges associated with integrating large acquisitions and managing associated costs.
- Risk of market volatility affecting client asset levels and trading activity.
- Unpredictability of future economic conditions and their impact on the financial services industry.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2020
+0.8%
Avg return
Earnings day
+0.6%
Avg return
5 days after
+2.7%
Avg return
30 days after
63%
46 / 73 earnings
Positive
+12.6%
Q2 2023
Best reaction
-15.0%
Q2 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -0.1% | +2.5% | -0.1% | |
| Q4 2025 | +0.6% | -8.3% | -9.4% | |
| Q3 2025 | -1.0% | +0.8% | +0.1% | |
| Q2 2025 | +2.3% | +0.2% | -2.1% | |
| Q1 2025 | +0.6% | +1.2% | +17.2% | |
| Q4 2024 | +5.5% | +7.1% | +7.1% | |
| Q3 2024 | +6.3% | +5.2% | +18.2% | |
| Q2 2024 | -15.0% | -17.3% | -13.1% | |
| Q1 2024 | +4.3% | +4.8% | +12.4% | |
| Q4 2023 | -2.5% | -1.1% | +0.1% | |
| Q3 2023 | +4.6% | -0.9% | +9.3% | |
| Q2 2023 | +12.6% | +13.4% | +1.9% | |
| Q1 2023 | +6.4% | +6.0% | +2.1% | |
| Q4 2022 | -8.6% | -6.9% | -3.8% | |
| Q3 2022 | -0.5% | +1.9% | +12.2% | |
| Q2 2022 | +1.6% | +1.3% | +21.4% | |
| Q1 2022 | -7.1% | -15.0% | -23.5% | |
| Q4 2021 | -4.2% | -6.6% | -10.0% | |
| Q3 2021 | +3.1% | +4.5% | +5.1% | |
| Q2 2021 | -5.5% | -1.4% | +4.9% | |
| Q1 2021 | -4.0% | -5.6% | +8.6% | |
| Q4 2020 | -0.2% | -0.6% | +5.4% | |
| Q3 2020 | +5.8% | +5.4% | +23.9% | |
| Q2 2020 | -6.2% | -1.2% | -1.7% | |
| Q1 2020 | -4.4% | +1.0% | -10.1% | |
| Q4 2019 | +2.6% | +2.8% | +0.2% | |
| Q3 2019 | +3.4% | +5.9% | +15.0% | |
| Q2 2019 | +2.3% | +6.0% | -9.3% | |
| Q1 2019 | +0.7% | +0.4% | -5.8% | |
| Q4 2018 | +6.0% | +8.4% | +4.8% | |
| Q3 2018 | -1.6% | -4.4% | -4.4% | |
| Q2 2018 | +6.2% | +2.1% | +0.1% | |
| Q1 2018 | +5.0% | +7.7% | +15.4% | |
| Q4 2017 | -0.4% | -0.2% | -6.1% | |
| Q3 2017 | -3.0% | -0.1% | -0.4% | |
| Q2 2017 | -1.8% | -1.8% | -7.6% | |
| Q1 2017 | +0.4% | +0.5% | +0.5% | |
| Q4 2016 | +2.8% | +2.1% | +3.0% | |
| Q3 2016 | +0.8% | +0.9% | +14.8% | |
| Q2 2016 | +1.7% | +4.3% | +11.4% | |
| Q1 2016 | +0.4% | — | — | |
| Q4 2015 | -1.9% | — | — | |
| Q3 2015 | +3.2% | — | — | |
| Q2 2015 | +3.4% | — | — | |
| Q1 2015 | +0.2% | — | — | |
| Q4 2014 | +0.3% | — | — | |
| Q3 2014 | +0.9% | — | — | |
| Q2 2014 | -1.2% | — | — | |
| Q1 2014 | +6.1% | — | — | |
| Q4 2013 | +2.8% | — | — | |
| Q3 2013 | +6.5% | — | — | |
| Q2 2013 | -3.5% | — | — | |
| Q1 2013 | -1.9% | — | — | |
| Q4 2012 | -0.3% | — | — | |
| Q3 2012 | +2.9% | — | — | |
| Q2 2012 | +2.6% | — | — | |
| Q1 2012 | +0.9% | — | — | |
| Q4 2011 | +2.0% | — | — | |
| Q3 2011 | +1.7% | — | — | |
| Q2 2011 | -12.5% | — | — | |
| Q1 2011 | +1.0% | — | — | |
| Q4 2007 | +1.1% | — | — | |
| Q4 2010 | +1.1% | — | — | |
| Q4 2009 | +1.1% | — | — | |
| Q3 2010 | -3.5% | — | — | |
| Q2 2010 | -3.4% | — | — | |
| Q1 2010 | -0.5% | — | — | |
| Q1 2009 | -0.5% | — | — | |
| Q3 2008 | +1.1% | — | — | |
| Q3 2009 | +1.1% | — | — | |
| Q2 2008 | +9.8% | — | — | |
| Q4 2008 | +9.8% | — | — | |
| Q2 2009 | +9.8% | — | — |
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