Charles Schwab net income drops 6%, falls short of target

Charles Schwab Corp. shares fell 5.3% in premarket trades on Monday after the broker said its first-quarter earning fell to $1.4 billion, or 67 cents a share, from $1.48 billion, or 73 cents a share in the year-ago quarter. Adjusted profit fell to 77 cents a share from 84 cents a share. Revenue dipped 1% to $4.67 billion. Wall Street analysts expected Charles Schwab to earn 84 cents a share on revenue of $4.83 billion, according to a FactSet survey. Schwab ended the quarter with 33.6 million active brokerage accounts, up 5%, and $7.86 trillion in total client assets, up 11%. Prior to Monday’s trades, Schwab are down 1.6% for the year, compared to a drop of 7.8% by the S&P 500.

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