Charles Schwab (FRA:SWG) 1-Year Sharpe Ratio: 0.12 (As of Jul. 13, 2026)


FRA:SWG Charles Schwab Corp FRA:SWG
73 GF Score
Price €88.78
GF Value €89.35
Valuation Fairly Valued
! 6 Warning Signs
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What is Charles Schwab 1-Year Sharpe Ratio?

Charles Schwab FRA:SWG +0.11% 73 1-Year Sharpe Ratio is 0.12 as of Jul. 13, 2026. GuruFocus rates FRA:SWG with a GF Score™ of 73/100 and a GF Value™ of €89.35 (Fairly Valued). The stock has 6 warning signs investors should review.

The 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past year. As of today (2026-07-13), Charles Schwab's 1-Year Sharpe Ratio is 0.12.

Charles Schwab  (FRA:SWG) 1-Year Sharpe Ratio Explanation

The 1-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past year. It is calculated as the annualized result of the average monthly excess return divided by its standard deviation over the past year. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.

The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.

Charles Schwab 1-Year Sharpe Ratio Related Terms

FRA:SWG vs HOOD, IBKR, LPLA: 1-Year Sharpe Ratio Comparison

For the Capital Markets subindustry, Charles Schwab's 1-Year Sharpe Ratio, along with its competitors' market caps and 1-Year Sharpe Ratio 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 1-Year Sharpe Ratio vs Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Charles Schwab's 1-Year Sharpe Ratio distribution charts can be found below:

* The bar in red indicates where Charles Schwab's 1-Year Sharpe Ratio falls into.


FRA:SWG
73GF Score
Charles Schwab Corp FRA:SWG
1-Year Sharpe Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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Charles Schwab 1-Year Sharpe Ratio Calculation

The 1-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset. A stock / portfolio's 1-Year Sharpe Ratio can be calculated by dividing the difference between the one-year returns of the investment and the risk-free rate, by the standard deviation of the investment returns over one year.

Frequently Asked Questions Learn more about 1-Year Sharpe Ratio →
What does a 1-Year Sharpe Ratio of 0.12 mean?
Charles Schwab (FRA:SWG) has a 1-Year Sharpe Ratio of 0.12 as of Jul. 13, 2026. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for Charles Schwab and its competitors.
Is Charles Schwab's 1-Year Sharpe Ratio too high?
Charles Schwab's current 1-Year Sharpe Ratio is 0.12. Overall, Charles Schwab has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Charles Schwab's 1-Year Sharpe Ratio compare to HOOD and IBKR?
Charles Schwab's 1-Year Sharpe Ratio of 0.12 can be compared against companies in the Capital Markets industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 1-Year Sharpe Ratio for a Capital Markets company?
A good 1-Year Sharpe Ratio depends on the Capital Markets industry context. However, 1-Year Sharpe Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 1-Year Sharpe Ratio mean?
A high 1-Year Sharpe Ratio can signal that a stock is expensive relative to its fundamentals. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for Charles Schwab and its competitors. Charles Schwab's current 1-Year Sharpe Ratio is 0.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Charles Schwab stock overvalued right now?
Based on GuruFocus' analysis, Charles Schwab (FRA:SWG) is currently considered Fairly Valued. The stock's GF Value™ is €89.35, compared to a current price of €88.78 — trading 0.6% below its estimated fair value. The current 1-Year Sharpe Ratio is 0.12. Charles Schwab's overall GF Score™ is 73/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 1-Year Sharpe Ratio calculated?
1-Year Sharpe Ratio is calculated from a company's financial statements. For Charles Schwab (FRA:SWG), the current 1-Year Sharpe Ratio is 0.12 as of Jul. 13, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Charles Schwab (FRA:SWG) Overvalued in 2026?

Based on GuruFocus' analysis, Charles Schwab stock appears to be undervalued. The current stock price of €88.78 is trading 0.6% below its estimated GF Value™ of €89.35. GuruFocus considers Charles Schwab to be Fairly Valued.

Key valuation signals for FRA:SWG:

  • 1-Year Sharpe Ratio: 0.12
  • GF Value™: €89.35 vs. price of €88.78 (0.6% below fair value)
  • GF Score™: 73/100 with 6 warning signs

No single metric tells the full story. See the FRA:SWG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Charles Schwab Business Description

Address 3000 Schwab Way, Westlake, TX, USA, 76262
Charles Schwab is one of the largest retail-oriented financial-services companies in the US, with $11.9 trillion in client assets across its brokerage, banking, asset management, custody, financial advisory, and wealth management businesses at the end of 2025. 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(RIA) custody, with over 40% market share, and has recently pushed into wealth management with robo-advisory, direct indexing, and other managed-investment solutions.
73GF Score

Get the complete analysis for FRA:SWG

1-Year Sharpe Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€88.78
Price
€89.35
GF Value