Live: Will Schwab Soar After Releasing Q2 Earnings?

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What Wall Street Will Be Watching In Charles Schwab’s Earnings Call

7:03 am
by Eric Bleeker

Here are some of the key storylines headed into Q2 earnings for Schwab. If they outperform in each, it could become a catalyst for Schwab shares not only today but in the coming weeks and months:

• Ameritrade Client Momentum: Ameritrade clients still only average about 30% share of wallet compared to 50% for Schwab, but trends have been encouraging. Will this momentum continue? If so, it could be a powerful earnings tailwind in the coming years.
• Margin Trajectory: If the Fed moves toward rate cuts, it will threaten Schwab’s net interest margin (NIM). Watch for commentary today about how Schwab plans to handle future rate cuts.
• Growth Investments: Schwab continues to invest heavily in areas like physical branches and technology (for areas like AI). The company affirmed its guide of expenses rising 4.5% to 5.5% in its last earnings call, can it sustain that growth level or will expenses end up rising more than expected?

Charles Schwab (NYSE: SCHW) is reporting earnings this morning and we’ll be following along with this live blog. The company has seen shares jump so far this year and its peer Interactive Brokers (Nasadaq: IBKR) is up 5% in premarket after blowing out earnings last night. 

Let’s look at the key storylines in front of second quarter earnings. 

Interactive Brokers Last Night 

Interactive Brokers reported last night and beat on almost every major line item. Stocks in the broader brokerage space have been on fire in 2025. Interactive Brokers was up more than 30% headed into earnings, Robinhood has become something of a “meme stock,” and as we noted earlier, Schwab is up more than 25% so far this year. 

A big reason for that is that risky assets have been flying since early April. That has not only swelled total asset values but also sweelled many of the most protable segments for brokerages such as margin accounts. 

What to Expect When Schwab Reports 

Here’s what Wall Street is expecting this morning:

• Revenue: $5.74 billion 
• EPS (normalized): $1.10 
• Book Value/Share: $23.14 

For the full year, here’s where expectations stand:

• Revenue: $22.96 billion 
• EPS (Normalized): $4.44

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