Charles Schwab stock ticked higher Friday after its record Q3 report early Thursday. Fellow financial services firm Interactive Brokers topped estimates in the afternoon Thursday. IBKR stock on Friday slid from a buy zone.
Charles Schwab on Thursday reported its earnings growth accelerated by 70%, hitting a record $1.31 per share adjusted. Revenue jumped 27% to $6.14 billion, also a record and a sharp acceleration.
Analysts polled by FactSet expected earnings of $1.25 per share on $6.01 billion in revenue.
CEO Rick Wurster attributed the performance to, "strengthening organic growth trends, increasing adoption of wealth solutions, and favorable macroeconomic tailwinds."
Charles Schwab added $137.5 billion in core net new assets during the quarter, while total client assets increased 17% to a record $11.59 trillion.
New brokerage account openings exceeded 1 million for the fourth quarter in a row. Active brokerage accounts climbed to 38 million. Total client accounts stood at 45.7 million.
Asset management fee revenue rose 13% from last year, and trading revenue surged 25%. Net interest revenue increased 37%.
Charles Schwab Stock
Schwab shares ticked higher Friday. SCHW stock eased almost 1% Thursday, sliding below its 50-day moving average . Shares in early trade attempted to clear a downward trendline.
The trendline opportunity formed as part of a larger, 12-week flat base. The pattern has an official buy point at 99.59, matching Schwab's record high from July 29.
Charles Schwab has rallied more than 26% this year.
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Interactive Brokers
Brokerage firm Interactive Brokers reported a 42.5% increase in earnings to 57 cents per share adjusted. Revenue jumped 21% to almost $1.66 billion.
FactSet expected earnings of 54 cents per share adjusted on $1.53 billion in revenue.
Commission revenue jumped 23% to $537 million, driven by higher customer trading volumes. Trading volumes for stock and options increased 67% and 27%, respectively, while futures volume declined 7%.
Customer accounts increased 32% to 4.13 million, while customer equity grew 40% to $757.5 billion.
Total daily average revenue trades jumped 34% to 3.62 million.
Analysts expected heightened trading volume from the broker. Interactive Brokers on Oct. 1 reported that daily average revenue trades for September were up 47% from last year, and up 11% from August. Client accounts increased 32% year-over-year for September, climbing 2% from August.
Interactive Brokers has also expanded its forecast contracts as prediction markets grow increasingly popular. The broker in May extended its trading hours for forecast contracts to 24 hours a day, six days a week.
IBKR stock eased less than 1% early Friday. IBKR stock declined 1.8% during Thursday trade to fall near the bottom of a buy zone for a cup base.
Shares first broke out above the 68.07 buy point on Sept. 29.
The buy zone, which extends 5% beyond the buy point, stretches to 71.47.
Interactive Brokers has rallied about 55% in 2025.
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