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HSBC vs. SCHW: HSBC vs. Charles Schwab Stock Comparison

How do HSBC (HSBC) and Charles Schwab (SCHW) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

HSBC (HSBC) and Charles Schwab (SCHW) share the Financials sector but sit in different industry groups — HSBC in Banks and SCHW in Financial Services.

Charles Schwab (SCHW) trades as ordinary local shares, while HSBC (HSBC) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for HSBC (HSBC) and Charles Schwab (SCHW)
Profile ItemHSBCSCHW
NameHSBC Holdings plc Sponsored ADRThe Charles Schwab Corporation
Country/RegionUnited KingdomUnited States
GICS SectorFinancialsFinancials
GICS Industry GroupBanksFinancial Services
GICS IndustryBanksCapital Markets
GICS Sub-IndustryDiversified BanksInvestment Banking & Brokerage
Market Capitalization297.66 billion USD158.22 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJuly 16, 1999September 22, 1987
Security TypeADRCommon Stock

Price Performance

Cumulative Growth

HSBC
SCHW
GSPC
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HSBC (HSBC) vs. Charles Schwab (SCHW), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for HSBC (HSBC) and Charles Schwab (SCHW). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for HSBC (HSBC) and Charles Schwab (SCHW). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for HSBC (HSBC) and Charles Schwab (SCHW)
MetricHSBCSCHW
Total Return (1Y)32.02%-0.80%
Total Return (3Y, Annualized)43.61%21.35%
Total Return (5Y, Annualized)33.35%4.31%

Risk Profile

Drawdown History

HSBC
SCHW
GSPC
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HSBC (HSBC) vs. Charles Schwab (SCHW), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for HSBC (HSBC) and Charles Schwab (SCHW). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for HSBC (HSBC) and Charles Schwab (SCHW)
MetricHSBCSCHW
Volatility (1Y, Annualized)28.54%26.01%
Beta (5Y)0.540.74
Max Drawdown (5Y)-31.80%-49.70%
Avg. Volume (3M)1.58M8.22M

Risk-Adjusted Performance

Risk-Return Positioning

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HSBC and SCHW are plotted by 1-year volatility (risk) and 1-year return. Each dashed Capital Allocation Line uses that stock's own industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for HSBC (HSBC) and Charles Schwab (SCHW)
MetricHSBCSCHW
Sharpe Ratio (1Y)0.97-0.20
Sortino Ratio (1Y)1.52-0.26

Profitability

ROE (TTM)

HSBC (HSBC) at 14.22% sits in the top ROE quartile, while Charles Schwab (SCHW) at 21.12% is closer to the peer norm — stronger capital efficiency for HSBC.

HSBC

Banks industry group

14.22%

Max
19.84%
HSBC
14.22%
Q3
13.67%
Median
11.49%
Q1
9.50%
Min
3.64%

SCHW

Financial Services industry group

21.12%

Max
44.78%
Q3
21.85%
SCHW
21.12%
Median
12.91%
Q1
4.48%
Min
-18.71%
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HSBC (HSBC) vs. Charles Schwab (SCHW): A comparison of their ROE against their respective Banks and Financial Services industry group benchmarks.

Net Margin (TTM)

For every dollar of sales, both HSBC (HSBC) at 41.16% and Charles Schwab (SCHW) at 39.33% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

HSBC

Banks industry group

41.16%

Max
47.19%
HSBC
41.16%
Q3
35.25%
Median
31.21%
Q1
27.11%
Min
14.93%

SCHW

Financial Services industry group

39.33%

Max
62.84%
SCHW
39.33%
Q3
28.05%
Median
15.36%
Q1
4.82%
Min
-28.52%
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HSBC (HSBC) vs. Charles Schwab (SCHW): A comparison of their net margin against their respective Banks and Financial Services industry group benchmarks.

Operating Margin (TTM)

Charles Schwab (SCHW) reports operating margin of 52.67%; HSBC (HSBC) doesn’t report a comparable line — in Banks, funding costs sit inside the core business rather than below an operating line, so profitability is better judged on net margin or ROE.

HSBC

Banks industry group

--

HSBC
--
Max
--
Q3
--
Median
--
Q1
--
Min
--

SCHW

Financial Services industry group

52.67%

Max
107.33%
Q3
55.90%
SCHW
52.67%
Median
30.09%
Q1
14.60%
Min
-44.34%
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HSBC (HSBC) vs. Charles Schwab (SCHW): HSBC’s operating margin is not assessed under the Banks industry convention, so the chart shows available visual context for SCHW only.

Profitability Metrics

Profitability metrics for HSBC (HSBC) and Charles Schwab (SCHW)
MetricHSBCSCHW
ROE (TTM)14.22%21.12%
ROA (TTM)0.84%2.16%
Net Margin (TTM)41.16%39.33%
Operating Margin (TTM)--52.67%
Gross Margin (TTM)----

Growth

Revenue Growth

Charles Schwab (SCHW) at 22.01% is around its peer norm for revenue growth, while HSBC (HSBC) at 5.38% drops into the bottom quartile, signaling weaker demand or pricing momentum.

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HSBC (HSBC) vs. Charles Schwab (SCHW): A comparison of their Revenue Growth across different time periods.

EPS Growth

Charles Schwab (SCHW) at 55.52% sits in the top EPS growth quartile, while HSBC (HSBC) at -3.23% is in the bottom quartile, showing a clear gap in earnings momentum.

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HSBC (HSBC) vs. Charles Schwab (SCHW): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for HSBC (HSBC) and Charles Schwab (SCHW)
MetricHSBCSCHW
Revenue Growth (YoY)5.38%22.01%
Revenue Growth (3Y CAGR)9.75%4.83%
EPS Growth (YoY)-3.23%55.52%
EPS Growth (3Y CAGR)17.49%9.93%

Financial Strength

Current Ratio (MRQ)

current ratio doesn’t apply on either side: HSBC (HSBC) in Banks and Charles Schwab (SCHW) in Financial Services both report balance sheets without a current/non-current split, so their short-term liquidity is better judged through regulatory and funding measures.

Debt / Equity (MRQ)

debt-to-equity ratio is set aside for both: HSBC (HSBC) in Banks and Charles Schwab (SCHW) in Financial Services run businesses where balance-sheet leverage is part of the model, so capital-adequacy and funding measures are the better gauges of balance-sheet risk.

Financial Strength Metrics

Financial strength metrics for HSBC (HSBC) and Charles Schwab (SCHW)
MetricHSBCSCHW
Current Ratio (MRQ)----
Debt / Equity (MRQ)----
Net Debt / EBITDA----

Dividends

Dividend Yield (TTM)

Charles Schwab (SCHW) at 1.33% pays a yield in its industry’s typical range, while HSBC (HSBC) at 0.86% falls in the bottom quartile of its peers.

HSBC

Banks industry group

0.86%

Max
5.79%
Q3
3.18%
Median
2.39%
Q1
1.20%
HSBC
0.86%
Min
0.00%

SCHW

Financial Services industry group

1.33%

Max
9.77%
Q3
3.92%
SCHW
1.33%
Median
1.09%
Q1
0.00%
Min
0.00%
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HSBC (HSBC) vs. Charles Schwab (SCHW): A comparison of their dividend yield against their respective Banks and Financial Services industry group benchmarks.

Dividend Payout Ratio (TTM)

Charles Schwab (SCHW) at 21.03% pays out a band-typical share of earnings, while HSBC (HSBC) at 53.57% distributes more than its industry norm — less retained, thinner cover.

HSBC

Banks industry group

53.57%

Max
70.75%
HSBC
53.57%
Q3
41.28%
Median
29.26%
Q1
18.98%
Min
0.00%

SCHW

Financial Services industry group

21.03%

Max
241.07%
Q3
97.36%
Median
25.77%
SCHW
21.03%
Q1
0.00%
Min
0.00%
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HSBC (HSBC) vs. Charles Schwab (SCHW): A comparison of their payout ratio against their respective Banks and Financial Services industry group benchmarks.

Dividend Metrics

Dividend metrics for HSBC (HSBC) and Charles Schwab (SCHW)
MetricHSBCSCHW
Dividend Yield (TTM)0.86%1.33%
Dividend Payout Ratio (TTM)53.57%21.03%

Valuation

P/E Ratio (TTM)

Both HSBC (HSBC) at 11.38 and Charles Schwab (SCHW) at 15.64 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

HSBC

Banks industry group

11.38

Max
18.16
Q3
13.75
Median
11.81
HSBC
11.38
Q1
10.64
Min
6.49

SCHW

Financial Services industry group

15.64

Max
45.85
Q3
24.64
SCHW
15.64
Median
15.37
Q1
9.68
Min
0.16
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HSBC (HSBC) vs. Charles Schwab (SCHW): A comparison of their P/E ratio against their respective Banks and Financial Services industry group benchmarks.

P/S Ratio (TTM)

Charles Schwab (SCHW) shows P/S ratio of 5.85; for HSBC (HSBC) the multiple is skipped — in Banks, income is dominated by interest spread rather than a conventional revenue line, so pricing per dollar of sales loses meaning and book- or earnings-based multiples carry the comparison.

HSBC

Banks industry group

--

HSBC
--
Max
--
Q3
--
Median
--
Q1
--
Min
--

SCHW

Financial Services industry group

5.85

Max
9.23
SCHW
5.85
Q3
4.57
Median
2.72
Q1
1.28
Min
-0.55
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HSBC (HSBC) vs. Charles Schwab (SCHW): HSBC’s P/S ratio is not assessed under the Banks industry convention, so the chart shows available visual context for SCHW only.

P/B Ratio (MRQ)

Charles Schwab (SCHW) at 3.08 sits near its industry’s typical P/B ratio, while HSBC (HSBC) at 6.87 prices above its benchmark range — HSBC looks rich relative to book.

HSBC

Banks industry group

6.87

HSBC
6.87
Max
2.28
Q3
1.58
Median
1.32
Q1
1.10
Min
0.59

SCHW

Financial Services industry group

3.08

Max
7.79
Q3
3.63
SCHW
3.08
Median
1.57
Q1
0.81
Min
-0.39
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HSBC (HSBC) vs. Charles Schwab (SCHW): A comparison of their P/B ratio against their respective Banks and Financial Services industry group benchmarks.

Valuation Metrics

Valuation metrics for HSBC (HSBC) and Charles Schwab (SCHW)
MetricHSBCSCHW
P/E Ratio (TTM)11.3815.64
P/S Ratio (TTM)--5.85
P/B Ratio (MRQ)6.873.08
Free Cash Flow Yield (TTM)----