Is The Charles Schwab Corp. overvalued or undervalued?

As of 31 October 2025, the valuation grade for The Charles Schwab Corp. moved from fair to attractive, indicating a shift towards a more favorable assessment. The company appears undervalued based on its current metrics, with a P/E ratio of 27, a PEG ratio of 0.86, and an EV to EBITDA of 9.56, which suggest it is trading at a discount relative to its growth potential.
In comparison to peers, The Charles Schwab Corp. has a lower P/E ratio than Morgan Stanley, which stands at 18.52, and a more favorable PEG ratio than The Goldman Sachs Group, Inc., which has a PEG of 0.9967. Despite a recent underperformance over the last three years compared to the S&P 500, where it returned 18.64% against the index's 76.66%, the strong year-to-date return of 27.71% compared to the S&P 500's 16.30% reinforces the attractiveness of the stock.