What Is SCHW Fair Value?
Charles Schwab Corporation (SCHW) fair value estimate using multiple valuation models, updated daily.
As of October 31, 2026, Charles Schwab Corporation (SCHW) has a composite fair value estimate of $226.30 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $88.05, suggesting the stock is undervalued by 157.0%.
Data as of October 31, 2026 (today)
Composite Fair Value
Undervalued4 of 4 models$226.30
vs. current price of $88.05(+157.0%)
How Is SCHW Fair Value Calculated?
Four independent models estimate what SCHW is worth. Each uses different inputs and assumptions. The composite blends them by weight.
SCHW Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
35% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$354.91
+303.1%Undervalued
Inputs used
DDM (Dividend Discount Model)
15% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$137.99
+56.7%Undervalued
Inputs used
SCHW Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
25% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$65.68
-25.4%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
25% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$172.17
+95.5%Undervalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $88.05 is 303.1% below this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $7.89B | $7.32B |
| Year 2 | $9.86B | $8.49B |
| Year 3 | $12.33B | $9.84B |
| Year 4 | $15.41B | $11.42B |
| Year 5 | $19.26B | $13.24B |
| Year 6 | $24.08B | $15.35B |
| Year 7 | $30.10B | $17.80B |
| Year 8 | $37.63B | $20.64B |
| Year 9 | $47.03B | $23.94B |
| Year 10 | $58.79B | $27.76B |
| Terminal Value | $1.14T | $537.75B |
What Are SCHW's Key Financial Metrics?
Earnings & Growth
Current Price
$88.05
EPS (TTM)
$5.85
Forward P/E
11.3
Profit Margin
39.3%
Cash & Balance Sheet
Free Cash Flow
0
EBITDA
0
Book Value
$29.75
Total Debt
40B
What Do Analysts Say About SCHW?
Low
$82.00
Average
$117.32
High
$147.00
Upside
+33.2%
SCHW Fair Value FAQ
What is the fair value of SCHW?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), SCHW's estimated fair value is $226.30. The stock is currently trading at $88.05, which makes it undervalued by our analysis.
How is SCHW's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is SCHW overvalued or undervalued?
Based on our analysis, SCHW is undervalued. The current price of $88.05 is 157.0% below our estimated fair value of $226.30.
What do Wall Street analysts say about SCHW?
22 analysts cover Charles Schwab Corporation with a consensus rating of "Buy." The average price target is $117.32, ranging from $82.00 to $147.00. This implies 33.2% upside from the current price.