Stock Movers: Charles Schwab, Robinhood, Humana

Bloomberg

18-07-2025

On this episode of Stock Movers: Listen for comprehensive cross-platform coverage of the US market close as heard on Bloomberg Television, Bloomberg Radio, and YouTube with Scarlet Fu, Vonnie Quinn, Tim Stenovec and Isabelle Lee. - Charles Schwab (SCHW) shares climbed after the company reported second-quarter earnings that topped estimates as client assets hit a new record and trading revenue increased. Schwab posted adjusted earnings per share of $1.14 while total client assets climbed 14% to $10.76 trillion compared to the same period last year, according to a statement. Revenue from client trades also jumped 23% to $952 million. 'Retail investors and RIAs continued to turn to Schwab as a trusted partner, opening over 1 million new brokerage accounts,' said Chief Executive Officer Rick Wurster. Daily average revenue trades just narrowly topped analyst forecasts at 7.57 million in a quarter characterized by market turmoil from President Donald Trump's tariff and policy changes. The firm attracted $73.6 billion in total net new assets, which was below analyst expectations. - Robinhood (HOOD) shares rose along with the broader crypto space as President Donald Trump signed key crypto legislation into law. The President signed the first federal bill to regulate stablecoins, hailing it as a 'giant step to cement American dominance of global finance and crypto technology' and delivering a major victory for the digital asset industry. 'The Genius Act creates a clear and simple regulatory framework to establish and unleash the immense promise of dollar-backed stablecoins,' Trump said Friday at a White House ceremony. 'This could be perhaps the greatest revolution in financial technology since the birth of the internet itself.' The measure sets regulatory rules for US dollar-backed stablecoins, including a requirement for firms to hold dollar-for-dollar reserves in short-term government debt or similar products overseen by state or federal regulators. Advocates see it as allowing for the broader adoption of digital assets in finance. - Humana (HUM) shares fell after it lost a lawsuit seeking to reverse cuts to its Medicare bonus payments, a blow for the insurer that had hoped the court would restore billions in revenue. A Texas judge ruled in favor of a government motion to dismiss the case, allowing a downgrade of Humana's Medicare quality ratings that's set to squeeze the company's profits in 2026. Humana shares dropped as much as 7.5%. The judge called Humana's federal court claim 'premature' because the company hadn't exhausted all the administrative procedures over the decision. The lawsuit was dismissed 'without prejudice,' which means Humana could file the court case again. 'Plaintiffs can seek review, just not until the end of the administrative appeal process,' the judge wrote.