Finance sector stocks, which have been off investors’ radar for quite some time now, seems to be regaining strength. With higher chances of the Fed raising rates next month, finance stocks are expected to witness improvement in revenues in the quarters ahead.
Today we are discussing investment brokerage firm The Charles Schwab Corporation SCHW, which has been gaining strength since the Fed’s decision to increase rates last year. Given its highly rate-sensitive business model, the company is well-positioned to thrive in a rising rate environment.
Over the past one year, this Zacks Rank #2 (Buy) stock has gained 13.1% compared with a 4.9% improvement in S&P 500 and 6.4% growth in the Zacks categorized Investment Brokers industry.
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