SCHWPB_CL.PFD (Charles Schwab) Moat Score : 7/10 (As of Jun. 29, 2025)

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What is Charles Schwab Moat Score?

Charles Schwab has the Moat Score of 7, which implies that the company might have Wide Moat - Entry-level wide moat, clearly possessing durable advantages.

Charles Schwab has Wide Moat: Charles Schwab Corp possesses a wide moat with strong brand recognition, significant customer switching costs, and a robust distribution network. The company benefits from economies of scale and regulatory barriers, providing durable competitive advantages in the financial services sector.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Charles Schwab might have Wide Moat - Entry-level wide moat, clearly possessing durable advantages.

Competitive Comparison of Charles Schwab's Moat Score

For the Capital Markets subindustry, Charles Schwab's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Charles Schwab's Moat Score Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Charles Schwab's Moat Score distribution charts can be found below:

* The bar in red indicates where Charles Schwab's Moat Score falls into.

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Charles Schwab (NYSE:SCHWpB_CL.PFD) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score	Moat Level
10	Wide Moat - Exceptionally dominant and durable wide moat
8 - 9	Wide Moat - Clear and robust wide moat
7	Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6	Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5	Narrow Moat - Solid narrow moat
4	Narrow Moat - Discernible but modest moat
1 - 3	No Moat - Very weak/transient advantages
0	No Moat - No discernible moat

Charles Schwab Moat Score Related Terms

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Charles Schwab Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Capital Markets » Charles Schwab Corp (NYSE:SCHWpB_CL.PFD) » Definitions » Moat Score

Comparable Companies

Traded in Other Exchanges

SCHWpJ.PFD:USA SCHWpD.PFD:USA SCHW:USA SCHW:Mexico 0L3I:UK SWG:Germany SWG:Germany SCHW:Canada SCHW34:Brazil SCHW:Austria

Address

3000 Schwab Way, Westlake, TX, USA, 76262

Website

https://www.aboutschwab.com

Charles Schwab is one of the largest retail-oriented financial services companies in the US, with $10.1 trillion in client assets across its brokerage, banking, asset-management, custody, financial advisory, and wealth-management businesses at year-end 2024. While best known for its retail brokerage offering, Schwab generates the lion's share of its revenue and profits through its Charles Schwab Bank and asset-management segments. The firm is a dominant player in registered investment advisor custody, with over 40% market share, and has recently pushed into wealth management with robo-advisory, direct indexing, and other managed-investment solutions.