Do You Believe in the Long-Term Growth Potential of Charles Schwab Corp (SCHW)?

RiverPark Advisors, an investment advisory firm and sponsor of the RiverPark family of mutual funds, released its “RiverPark Large Growth Fund” Q1 2025 investor letter. A copy of the letter can be downloaded here. The market faced a challenging start to 2025, with the S&P 500 Index declining 4.27% and the Russell 1000 Growth Index falling 9.97% in the first quarter. Against this backdrop, the fund dropped 7.21%, outperforming its growth benchmark. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its first-quarter 2025 investor letter, RiverPark Large Growth Fund highlighted stocks such as Charles Schwab Corporation (NYSE:SCHW). The Charles Schwab Corporation (NYSE:SCHW) is a savings and loan holding company that offers wealth management, securities brokerage, banking, asset management, custody, and financial advisory services. The one-month return of The Charles Schwab Corporation (NYSE:SCHW) was 5.96%, and its shares gained 22.07% of their value over the last 52 weeks. On May 30, 2025, The Charles Schwab Corporation (NYSE:SCHW) stock closed at $88.34 per share with a market capitalization of $160.511 billion.

RiverPark Large Growth Fund stated the following regarding The Charles Schwab Corporation (NYSE:SCHW) in its Q1 2025 investor letter:

“The Charles Schwab Corporation (NYSE:SCHW) rebounded during the quarter as interest rate expectations moderated and concerns about deposit outflows receded. The company saw stabilization in client cash balances and delivered solid net new asset growth. Schwab’s scale, low-cost structure, and diversified revenue base position it well in a more normalized rate environment. We believe the long-term opportunity in wealth management and advisory services remains compelling.”

Jim Cramer Applauds Charles Schwab (SCHW): “Much Better Than Expected Earnings”

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The Charles Schwab Corporation (NYSE:SCHW) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 102 hedge fund portfolios held The Charles Schwab Corporation (NYSE:SCHW) at the end of the first quarter, which was 91 in the previous quarter. In the first quarter, The Charles Schwab Corporation’s (NYSE:SCHW) total revenue increased 18% year-over-year to $5.6 billion. While we acknowledge the potential of The Charles Schwab Corporation (NYSE:SCHW) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.

In another article, we covered The Charles Schwab Corporation (NYSE:SCHW) and shared the list of best blue-chip stocks to buy according to billionaires. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.