15 Best Bank Stocks to Buy According to Billionaires

2. The Charles Schwab Corporation (NYSE:SCHW)

Number of Billionaire Investors: 19

The Charles Schwab Corporation (NYSE:SCHW) is a financial services company that offers wealth management, brokerage, banking, and advisory services in the United States and internationally. On March 17, JMP Securities assigned a Market Outperform rating on the stock and maintained a $94 price target on the shares, citing strong performance in February. Schwab added $48 billion in net new assets, a 44% jump from last year. Analysts remain bullish on the company’s momentum in brokerage and banking. It is one of the best bank stocks to buy according to billionaires.

On January 29, The Charles Schwab Corporation (NYSE:SCHW) announced a $0.27 per share quarterly dividend, an 8% increase from its last dividend of $0.25. The dividend was distributed to shareholders on February 28.

In the fourth quarter of 2024, The Charles Schwab Corporation (NYSE:SCHW) reported $1.8 billion in net income and earnings per share of $0.94. The company added $115 billion in new assets, bringing the yearly total to $367 billion, a 20% increase from last year. Revenue grew 20% to $5.3 billion, fueled by higher client engagement, increased margin utilization, and record inflows into Managed Investing Solutions. Charles Schwab also improved its pre-tax profit margin to 43.3%, with GAAP and adjusted EPS climbing 84% and 49%, respectively.