High Rates & Strategic Buyouts Aid Schwab Amid Rising Expenses
Charles Schwab(SCHW) ZACKS·2024-09-19 21:56
Charles Schwab Corp. (SCHW) remains well-positioned for growth, driven by higher rates, opportunistic acquisitions and rising client assets. However, a mounting expense base and subdued trading revenues are worrisome.Tailwinds for SchwabHigh Interest Rates to Aid Net Interest Margin: Schwab’s net interest margin (NIM) is likely to improve in the near term, supported by the existing high-interest rate scenario. The company’s NIM expanded to 1.98% in 2023 from 1.78% in 2022 and 1.45% in 2021 on account of hig ...