Schwab Stock Up 4.9% as February Core NNA Rises on Market Volatility

Shares of Charles Schwab SCHW gained 4.9% following the release of its monthly activity report for February 2025. The company’s core net new assets (NNA) of $48 billion surged 57% from the previous month and 44% in the year-ago month. This was largely driven by significant market volatility.

SCHW’s February Performance Breakdown

SCHW’s total client assets in February 2025 were $10.28 trillion, down 1% from January 2025 but up 16% from February 2024. Client assets receiving ongoing advisory services were $5.2 trillion, relatively stable with the prior month and up 38% from the year-ago period.

Schwab’s average interest-earning assets of $424.8 billion in February 2025 declined 2% from January 2025 and year over year. Average margin balances were $84.2 billion, up 2% from the previous month and 32% on a year-over-year basis. Average bank deposit account balances totaled $83.1 billion, down 2% from last month and 10% from February 2024.

Schwab opened 362,000 new brokerage accounts in February 2025, down 16% sequentially but up 5% from the year-earlier month.

Schwab’s active brokerage accounts totaled 36.9 million at the end of February 2025, stable sequentially and up 5% year over year. Client banking accounts were 2.03 million, up 1% sequentially and 9% from the February 2024 figure. The number of workplace plan participant accounts was unchanged from the January 2025 level and up 4% year over year to 5.46 million.

SCHW’s Zacks Rank & Price Performance

In the past six months, Schwab shares have rallied 21.3%, outperforming the industry’s rise of 13.7%.
 

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Currently, SCHW carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Competitive Landscape

Interactive Brokers Group, Inc. IBKR released the Electronic Brokerage segment’s performance metrics for February 2025. The segment deals with clearance and settlement of trades for individual and institutional clients globally. It reported a rise in client Daily Average Revenue Trades (DARTs) from a year ago.

IBKR’s total client DARTs in February were 3,267,000, which increased 48.1% from February 2024 and 4.1% from January 2025.

Robinhood Markets, Inc. HOOD has released the monthly operating data for February 2025. It reported a rise in equity, options, and crypto DARTs from the year-ago period.

HOOD’s total assets under custody in February (AUC) was $187.4 billion, jumping 57.9% year over year but declining 8% from the last month.

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This article originally published on Zacks Investment Research (zacks.com).

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