5 Best Holding Company Stocks To Invest In

In this article, we discuss 5 best holding company stocks to invest in. If you want to see more stocks in this selection, check out 12 Best Holding Company Stocks To Invest In. 

5. The Charles Schwab Corporation (NYSE:SCHW)

Number of Hedge Fund Holders: 75

The Charles Schwab Corporation (NYSE:SCHW), through its subsidiaries, provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services. The company operates in two segments, Investor Services and Advisor Services. The Charles Schwab Corporation (NYSE:SCHW) was incorporated in 1971 and is headquartered in Westlake, Texas. It is one of the best holding company stocks to monitor. 

On January 4, Alexander Blostein, a Goldman Sachs analyst, upgraded The Charles Schwab Corporation (NYSE:SCHW) from Neutral to Buy and set a $98 price target for the stock. According to the analyst, the company’s deposit balances are expected to trough by mid-2023, which will “unlock significant earnings power.” The analyst forecasts Schwab’s annual earnings growth to be greater than 20% over the next two years, “with sustainable tailwinds beyond that.”

According to Insider Monkey’s third quarter database, 75 hedge funds were bullish on The Charles Schwab Corporation (NYSE:SCHW), compared to 68 funds in the prior quarter. Rajiv Jain’s GQG Partners is the leading stakeholder of the company, with 16.5 million shares worth $1.19 billion.  

Ariel Investment made the following comment about The Charles Schwab Corporation (NYSE:SCHW) in its Q3 2022 investor letter:

“Shares of financial services provider The Charles Schwab Corporation (NYSE:SCHW) also traded higher following the delivery of a top and bottom-line earnings beat, an increase in its quarterly dividend and the announcement of a significant stock repurchase program. We believe the company will continue to weather various macro and competitive pressures in a rising rate environment by flexing its scale and customer-centric focus in support of its industry leading cost advantage. We also think the TD Ameritrade acquisition will create incremental value and further enhance SCHW’s marketplace standing and long-term growth trajectory.”