Charles Schwab Corp (SCHW)vsSynchrony Financial (SYF)
SCHW
Charles Schwab Corp
$94.47
-0.55%
FINANCIAL SERVICES · Cap: $169.34B
SYF
Synchrony Financial
$67.63
+0.54%
FINANCIAL SERVICES · Cap: $24.23B
Smart Verdict
WallStSmart Research — data-driven comparison
Charles Schwab Corp generates 145% more annual revenue ($23.92B vs $9.76B). SCHW leads profitability with a 37.0% profit margin vs 36.4%. SCHW appears more attractively valued with a PEG of 1.12. SCHW earns a higher WallStSmart Score of 75/100 (B+).
SCHW
Strong Buy75
out of 100
Grade: B+
SYF
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+56.0%
Fair Value
$217.62
Current Price
$94.47
$123.16 discount
Margin of Safety
+59.2%
Fair Value
$178.92
Current Price
$67.63
$111.29 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 37 of every $100 in revenue as profit
Strong operational efficiency at 49.7%
Conservative balance sheet, low leverage
Large-cap with strong market position
18.9% revenue growth
Earnings expanding 41.1% YoY
Attractively priced relative to earnings
Keeps 36 of every $100 in revenue as profit
Strong operational efficiency at 48.5%
Every $100 of equity generates 21 in profit
Reasonable price relative to book value
Generating 2.5B in free cash flow
Areas to Watch
Negative free cash flow — burning cash
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : SCHW
The strongest argument for SCHW centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 37.0% and operating margin at 49.7%. Revenue growth of 18.9% demonstrates continued momentum.
Bull Case : SYF
The strongest argument for SYF centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 36.4% and operating margin at 48.5%.
Bear Case : SCHW
The primary concerns for SCHW are Free Cash Flow.
Bear Case : SYF
The primary concerns for SYF are PEG Ratio, Altman Z-Score.
Key Dynamics to Monitor
SCHW profiles as a growth stock while SYF is a value play — different risk/reward profiles.
SYF carries more volatility with a beta of 1.41 — expect wider price swings.
SCHW is growing revenue faster at 18.9% — sustainability is the question.
SYF generates stronger free cash flow (2.5B), providing more financial flexibility.
Bottom Line
SCHW scores higher overall (75/100 vs 71/100), backed by strong 37.0% margins and 18.9% revenue growth. SYF offers better value entry with a 59.2% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Charles Schwab Corp
FINANCIAL SERVICES · CAPITAL MARKETS · USA
The Charles Schwab Corporation is an American multinational financial services company. It offers banking, commercial banking, an electronic trading platform, and wealth management advisory services to both retail and institutional clients.
Visit Website →Synchrony Financial
FINANCIAL SERVICES · CREDIT SERVICES · USA
Synchrony Financial is a consumer financial services company headquartered in Stamford, Connecticut, United States. The company offers consumer financing products, including credit, promotional financing and loyalty programs, installment lending to industries, and FDIC-insured consumer savings products through Synchrony Bank, its wholly owned online bank subsidiary.
Visit Website →Compare with Other CAPITAL MARKETS Stocks
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