SCHW SCHW

Name: SCHW Crucible Score
Creator: Kaladin Capital Intelligence

UnknownUnknownN/A📅 Scored April 20, 2026

Price at analysis: $92.28

Crucible Score

61.2

C+

Quality × Value Composite

KQI — Quality

63.0

C+

Fundamental Quality Index

KVI — Value

58.9

Valuation Attractiveness Index

Crucible Verdict — SCHW

Charles Schwab (SCHW) presents a decent quality business trading at a modest discount to fair value, with strong financial metrics offset by concerning diversification weaknesses and recent insider selling despite an 83% earnings beat rate. The 11% upside to base case looks reasonable given the solid moat and market position, though concentration risks warrant monitoring in a shifting brokerage landscape.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality

74.4

Growth Profile

66.9

Moat Durability⚠

53.5

Management Effectiveness

62.7

Diversification & Resilience⚠

48.0

Market Position

68.0

Weakest dimension: Diversification & Resilience (48.0)

◆ KVI Value Dimensions

DCF Margin of Safety

61.3

FCF Yield & Cash Returns

42.7

Relative Valuation

67.1

Growth-Adjusted Value

53.6

Historical Valuation

80.5

Macro Context

60.0

◆ DCF Valuation Scenarios

Bear Case

$68.42

Base Case

$102.15

Bull Case

$145.73

Price at Analysis

$92.28

Scenario	Fair Value	Rev CAGR (5yr)	Terminal Margin	WACC
🔴 Bear	$68.42	5.0%	38.0%	9.7%
🟢 Base	$102.15	8.0%	44.0%	8.7%
🟢 Bull	$145.73	11.0%	48.0%	8.1%

Key Assumptions: Revenue base anchored at ~$27.7B with most recent year showing strong recovery to 49% operating margins after TD Ameritrade integration headwinds. Bear case assumes margin normalization to 38% with modest 5% revenue growth reflecting rate sensitivity and competitive pressures. Bull case assumes sustained margin expansion to 48% driven by operating leverage on the integrated platform and continued asset gathering momentum, with 11% revenue CAGR supported by organic growth and net new asset inflows.

◆ Financial Snapshot

Profitability

Gross Margin85.8%

Operating Margin44.9%

Net Margin33.3%

ROIC10.2%

ROE13.7%

Balance Sheet

Balance SheetCR: 16.22

Cash ConversionFCF/EPS: 0.27x

Capital IntensityCapex/Rev: 2.0%

Altman Z-Score88095.10 (Safe)

Piotroski F-Score8/9 (Strong)

Growth

Revenue CAGR5.9% CAGR

Earnings CAGR10.9% CAGR

Growth ConsistencyCV: 1.30

Segment Breadth2/2 growing (100%)

Quarterly TrendMargin↑, Cash↓, Exp↓

Earnings CredibilityConsistent Beater

◆ Analyst Consensus & Leadership

Leadership & Governance

CEOWalt Bettinger · 18 years

CEO Ownership6.3%

Compensation69% performance-based

Insider ActivitySelling

Capital AllocationROIC 10.2% vs WACC 9.6%

Earnings Beat Rate83% (15/19)

◆ Related Companies in Our Universe

Other Unknown companies scored by the Crucible:

ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+

Methodology All Scores Crucible Briefs Performance @KaladinCI

Analysis conducted April 20, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.