Should You Buy Schwab U.S. Dividend Equity ETF Stock in 2025? Essential Guide for PH
Is Schwab U.S. Dividend Equity ETF stock a buy right now?
ScoreThe Schwab U.S. Dividend Equity ETF (SCHD) stands out in the current market landscape, trading at approximately $26.08 as of May 27, 2025, with an average daily trading volume hovering around 19 million shares. Despite a modest year-to-date performance of -4.57%, SCHD’s one- and five-year returns reveal its underlying resilience, posting a robust 4.57% gain over the past year and an impressive 12.73% annualized return over five years. Notably, last year’s 3-for-1 share split has enhanced accessibility for individual investors, especially in markets like the Philippines where dollar-cost averaging and long-term strategies remain popular. Recent quarterly distributions continue a tradition of steadily growing dividends, currently yielding a healthy 3.94%. While near-term sentiment appears neutral to slightly bearish due to broader equity volatility, the fund’s disciplined selection of companies with at least ten consecutive years of dividend payments helps it weather market cycles. This focus on financial strength and stable dividends is especially relevant for PH-based investors seeking predictable income. Within the large-cap value sector, SCHD is particularly well-positioned, with a diverse mix across energy, consumer staples, and health care. According to the consensus of over 34 national and international banks, the target price is set at $33.90—reflecting confidence in long-term appreciation potential.
- ✅Attractive 3.94% dividend yield with a consistent history of quarterly distributions.
- ✅Exposure to high-quality, financially stable U.S. companies across multiple sectors.
- ✅Competitive expense ratio of 0.06%, enhancing long-term net returns for investors.
- ✅Strong 5- and 10-year annualized returns demonstrate long-term growth and resilience.
- ✅Tracks the Dow Jones U.S. Dividend 100 Index, using rigorous selection criteria.
- ❌Short-term negative momentum; recent volatility may affect near-term price stability.
- ❌Heavy energy sector allocation may increase sensitivity to fluctuations in oil prices.
Score- ✅Attractive 3.94% dividend yield with a consistent history of quarterly distributions.
- ✅Exposure to high-quality, financially stable U.S. companies across multiple sectors.
- ✅Competitive expense ratio of 0.06%, enhancing long-term net returns for investors.
- ✅Strong 5- and 10-year annualized returns demonstrate long-term growth and resilience.
- ✅Tracks the Dow Jones U.S. Dividend 100 Index, using rigorous selection criteria.
Is Schwab U.S. Dividend Equity ETF stock a buy right now?
- ✅Attractive 3.94% dividend yield with a consistent history of quarterly distributions.
- ✅Exposure to high-quality, financially stable U.S. companies across multiple sectors.
- ✅Competitive expense ratio of 0.06%, enhancing long-term net returns for investors.
- ✅Strong 5- and 10-year annualized returns demonstrate long-term growth and resilience.
- ✅Tracks the Dow Jones U.S. Dividend 100 Index, using rigorous selection criteria.
- ❌Short-term negative momentum; recent volatility may affect near-term price stability.
- ❌Heavy energy sector allocation may increase sensitivity to fluctuations in oil prices.
Score- ✅Attractive 3.94% dividend yield with a consistent history of quarterly distributions.
- ✅Exposure to high-quality, financially stable U.S. companies across multiple sectors.
- ✅Competitive expense ratio of 0.06%, enhancing long-term net returns for investors.
- ✅Strong 5- and 10-year annualized returns demonstrate long-term growth and resilience.
- ✅Tracks the Dow Jones U.S. Dividend 100 Index, using rigorous selection criteria.
- What is Schwab U.S. Dividend Equity ETF?
- How much is Schwab U.S. Dividend Equity ETF stock?
- Our full analysis on Schwab U.S. Dividend Equity ETF </b>stock
- How to buy Schwab U.S. Dividend Equity ETF stock in the Philippines?
- Our 7 tips for buying Schwab U.S. Dividend Equity ETF stock
- The latest news about Schwab U.S. Dividend Equity ETF
- FAQ
What is Schwab U.S. Dividend Equity ETF?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | United States | U.S.-domiciled ETF, ideal for exposure to U.S. equity markets. |
| 💼 Market | NYSE Arca | Listed on a major U.S. exchange, ensuring high liquidity for investors. |
| 🏛️ ISIN code | US8085247971 | Unique identifier, used for global tracking and settlement of ETF shares. |
| 👤 CEO | Ferian Juwono (Lead Manager) | Managed by Ferian Juwono since inception, ensuring strong continuity and oversight. |
| 🏢 Market cap | $67.27 billion | Large market cap reflects strong investor confidence and broad adoption. |
| 📈 Revenue | Not applicable (ETF structure) | As an ETF, it does not report traditional revenue, but tracks portfolio returns. |
| 💹 EBITDA | Not applicable (ETF structure) | EBITDA does not apply; ETF disclosures focus instead on returns and distributions. |
| 📊 P/E Ratio (Price/Earnings) | 15.81 | P/E is reasonable, suggesting fair value versus sector peers and stable income streams. |
How much is Schwab U.S. Dividend Equity ETF stock?
The price of Schwab U.S. Dividend Equity ETF stock is rising this week. As of May 27, 2025, the current price is $26.08, with a 24-hour gain of +0.77% and a weekly change of -2.67%. The ETF’s market capitalization stands at $67.27 billion, and it averages a daily trading volume of 19.03 million shares over the past three months.
| Metric | Value |
|---|---|
| P/E Ratio | 15.81 |
| Dividend Yield | 3.94% |
| Beta | 1.00 |
SCHD provides a balance of income and steady growth potential for Philippine investors. Despite some short-term volatility, its fundamentals continue to support long-term investment confidence.
Compare the best brokers in the Philippines!Compare brokersOur full analysis on Schwab U.S. Dividend Equity ETF stock
After carefully reviewing the latest financial data and three-year stock performance of the Schwab U.S. Dividend Equity ETF (SCHD), along with an integrated assessment of technical indicators, fundamental metrics, market conditions, and competitive positioning, our algorithms signal that SCHD is displaying a noteworthy confluence of stability and growth potential. The resulting mosaic of intelligence—from recent earnings and distribution news, to structural advantages and sectoral shifts—raises a timely question for Philippine investors seeking high-quality, dollar-denominated exposure: Why might Schwab U.S. Dividend Equity ETF once again present itself as a strategic entry point into the U.S. value dividend sector in 2025?
Recent Performance and Market Context
Over the past year, SCHD has demonstrated notable resilience amid persistent macroeconomic uncertainty, finishing up +4.49% even as the broader U.S. equity landscape oscillated between risk-on and defensive postures. The ETF’s current share price stands at $26.08 (as of May 27, 2025), representing a 6-month decline of 11.79%—an adjustment largely attributed to sector rotation and a partial pullback in energy. Notably, SCHD’s robust 5-year annualized return of 12.73% vastly outpaces inflation and most fixed-income alternatives, underscoring its capacity to generate real wealth over cycles.
Positive catalysts have recently bolstered sentiment around SCHD:
- 3-for-1 Share Split (October 2024): Increased liquidity and accessibility, widening the investor base—especially relevant for Philippine investors seeking to accumulate positions in U.S. markets.
- Latest Dividend Distribution: $0.2488 per share paid in March 2025, reaffirming a near-4% yield, which is highly attractive in a low-to-moderate interest rate environment.
- Sectoral Shifts: With the Federal Reserve’s cautious approach to rate adjustments and ongoing U.S. economic expansion, the large-cap value and dividend space remains structurally favored by many institutional allocators.
From a regional lens, SCHD’s focus on stable U.S. corporates aligns with the risk profiles of many Filipino investors seeking steady dollar-denominated income—and the ETF’s design provides a seamless, cost-effective route to participate in global value trends.
Technical Analysis
A close reading of technical signals reveals that SCHD is navigating a constructive consolidation phase, with reduced volatility and emerging bottoming signals:
- RSI (14-day): Currently at 46.48, pointing to a neutral stance, indicative of a market seeking direction rather than one approaching overbought or oversold extremes—this can often serve as a prelude to renewed momentum.
- MACD (12,26,9): Positive at 0.03, but declining, signaling a period of equilibrium potentially preceding a bullish reversal—especially as macro headwinds subside.
- Moving Averages:
- 20-day MA: Price has reclaimed this level, a classically bullish short-term indicator.
- 50-day and 200-day MA: Both remain above the current price; however, prior major reversals have occurred at similar levels after technical washes, and volume support around the lower range suggests downside may be limited.
- Support/Resistance: Key support levels at $25.56 and $25.28 have repeatedly attracted buyers, while first resistance is within reach at $26.27–$26.46, further indicating a tightly coiled setup. If SCHD breaks this initial resistance, a medium-term target of $28.18 comes into play.
Taken together, these technical features suggest SCHD is building a credible base from which a new bullish phase could develop, especially if external macro pressures ease or dividend growth accelerates.
Fundamental Analysis
SCHD’s fundamental profile remains highly compelling, driven by both portfolio construction discipline and attractive valuation:
- Defensive Growth: The ETF’s underlying strategy selects U.S. stocks with 10+ years of consecutive dividend payments, robust cash flow, and superior return on equity—features that have underpinned double-digit long-term returns.
- Valuation: With a price-to-earnings ratio of 15.81 and a price-to-book ratio of 3.06, SCHD trades at compelling multiples relative to the S&P 500 and the U.S. large-cap value universe. The almost 4% dividend yield (3.94%) is a standout, offering genuine cash flow in an uncertain rate environment.
- Investment Quality: Top holdings such as Coca-Cola, Verizon, Cisco Systems, and Lockheed Martin represent dominant, globally recognized franchises with robust pricing power—foundational for long-term return stability.
- Expense Ratio: At 0.06%, SCHD is among the most cost-efficient vehicles in the market, directly enhancing net-of-fee returns and compounding advantage over years.
The combination of ample liquidity, disciplined stock selection, and a track record of consistently growing dividends establishes a framework for potential outperformance—especially relative to higher-risk growth vehicles.
Volume and Liquidity
SCHD boasts an average daily trading volume of 19.03 million shares, reflecting both depth and breadth of institutional and retail interest. This consistent liquidity translates to:
- Smooth entry and exit points for investors, minimizing slippage and transaction costs.
- A favorable float that supports dynamic pricing; large trades are absorbed efficiently, which is particularly relevant for PH-based investors accessing U.S. markets via custodial brokers.
- An absence of trading friction, allowing the ETF to serve as a highly responsive tactical or core allocation—an important consideration with the Philippine investor’s increasing exposure to global equities.
Together, these liquidity factors reinforce market confidence and keep valuation aligned with intrinsic portfolio value.
Catalysts and Positive Outlook
SCHD’s forward trajectory benefits from several well-defined catalysts:
- Consistent Dividend Growth: By mandating a minimum of 10 years of consecutive dividend payments and prioritizing five-year dividend growth, SCHD’s portfolio is positioned to deliver not only high income today but also meaningful income growth tomorrow.
- Index Construction: As a tracker of the Dow Jones U.S. Dividend 100 Index, the ETF continually re-optimizes for quality and durability—characteristics highly valued amid macro uncertainty.
- Upcoming Macro Tailwinds: Anticipated stabilization in U.S. interest rates and reacceleration of U.S. GDP in the back half of 2025 could favor quality dividend stocks, particularly as cyclical volatility recedes.
- Quarterly Dividend Distribution: Offers PH investors a reliable stream of U.S. dollar income, helping diversify local peso-denominated holdings and hedge against Philippine inflation and currency risk.
- Expense Discipline: Ongoing commitment to ultra-low costs provides a persistent competitive edge versus active or higher-cost alternatives, reinforcing long-term compounding.
- ESG and Regulatory Headwinds: SCHD’s overweight of established, compliant U.S. corporates may attract fresh flows as regulatory scrutiny of governance and sustainability intensifies in the U.S. and globally.
These catalysts, paired with the ETF’s proven resilience, set the stage for robust capital appreciation and steady income into 2025 and beyond.
Investment Strategies
Given current technical and fundamental dynamics, SCHD appears well-suited for diverse investment horizons and strategies:
- Short-Term: Investors may look to accumulate on pullbacks to the key support zone ($25.56–$25.28), targeting reversals as momentum shifts. The current consolidation pattern and neutral RSI/MACD create an ideal entry window ahead of potential summer or Q3 catalysts.
- Medium-Term: Building a position ahead of resistance level breaks ($26.27/$27.57) seems pragmatic, as technical confirmation above these thresholds could trigger a wave of new inflows and price momentum.
- Long-Term: For PH investors seeking robust U.S. dollar income and portfolio diversification, SCHD’s 10.47% 10-year annualized return and 3.94% yield justify serious consideration as a long-term core holding—especially when aligned with tax-advantaged or global asset allocation strategies.
Timing appears fortuitous to initiate or add to positions, given the ETF’s current inflection point and the approach of several key upward catalysts.
Is It the Right Time to Buy Schwab U.S. Dividend Equity ETF?
In summary, SCHD offers a rare synthesis of value, stability, and yield—anchored by a disciplined methodology, world-class holdings, and rock-bottom expenses. The fund’s solid recent performance, reliable dividend growth, and liquidity profile contrast sharply with prevailing market uncertainty, while technical indicators and valuation multiples suggest that the current consolidation may presage a refreshed leg higher.
For Philippine investors with an appetite for steady U.S. dollar income, diversified sector exposure, and robust risk controls, the fundamentals justify renewed interest in this blue-chip ETF. As macro headwinds abate and market sentiment tilts back toward quality and income, SCHD seems to represent an excellent opportunity to access the U.S. value dividend space at a potentially attractive pivot point, with both defensive and growth characteristics.
The coming quarters promise a convergence of technical triggers and fundamental tailwinds that could see SCHD reassert its leadership within the large value segment—an ideal solution for investors seeking to strengthen and diversify their portfolios with a focus on capital preservation and credible yield.
How to buy Schwab U.S. Dividend Equity ETF stock in the Philippines?
Buying shares of the Schwab U.S. Dividend Equity ETF (SCHD) online is straightforward and secure when using a regulated broker available to investors in the Philippines. You can choose to buy SCHD in two main ways: direct spot (or “cash”) purchase of ETF units, or trading Contracts for Difference (CFDs) to speculate on price movements with leverage. Each method has its own features, costs, and risk profile. To help you make an informed choice, you’ll find a detailed broker fee comparison further down the page.
Spot Buying
Purchasing SCHD via “cash buying” means you’re outright acquiring shares of the ETF and becoming their beneficial owner. This method is popular for long-term investors seeking potential capital appreciation plus dividend income. Philippine-friendly brokers typically charge a fixed commission per order, which for international trades is commonly around USD $3–5 (roughly PHP 170–290 at current rates).
Practical Example
Suppose you wish to invest $1,000. At the current SCHD price of $26.08, you could buy approximately 38 shares (after accounting for a $5 trading fee). Here’s how the math works:
- $1,000 stake - $5 fee = $995 available for shares
- $995 ÷ $26.08 ≈ 38 shares
If SCHD rises by 10%, your holdings would be worth $1,100.
Result: +$100 gross gain, representing a +10% return on your original investment (before taxes or small account fees).
Trading via CFD
CFDs, or Contracts for Difference, allow you to trade SCHD price movements without owning the actual ETF. This method appeals to active traders, as CFDs can be leveraged—meaning you can gain amplified exposure with a modest capital outlay. Philippine clients trading with regulated platforms typically incur two kinds of fees: the “spread” (broker’s margin) and overnight financing costs (if positions are held beyond the trading day).
Example with Leverage
If you deposit $1,000 and use 5x leverage, you control a position of $5,000 worth of SCHD shares. Should the price climb by 8%, your exposure means a gain of 40% on your actual outlay.
- $5,000 x 8% = $400 gain
- On a $1,000 deposit, this is +$400 (excluding trading fees and costs for keeping the position overnight).
Be aware: While gains can be larger with leverage, so are potential losses.
Final Advice
Before investing, always compare brokers’ fees, platform features, and currency conversion rates. These factors can affect your overall returns, especially for international ETFs like SCHD. The decision between spot buying and CFDs depends on your objectives—whether you seek steady, long-term growth with added dividend income or prefer short-term trading flexibility and leverage. See our comprehensive broker comparison further down the page to help you get started confidently and efficiently.
Compare the best brokers in the Philippines!Compare brokersOur 7 tips for buying Schwab U.S. Dividend Equity ETF stock
| 📊 Step | 📝 Specific tip for Schwab U.S. Dividend Equity ETF |
|---|---|
| Analyze the market | Review recent trends and performance of SCHD, focusing on its stability, dividend growth history, and how U.S. market movements impact Philippine peso equivalents. |
| Choose the right trading platform | Open an account with a reputable local or international broker that allows Filipinos to invest in U.S. ETFs, ensuring low fees and reliable USD funding options. |
| Define your investment budget | Decide how much of your savings you want to invest in SCHD, considering current exchange rates and your overall financial goals as an investor in the Philippines. |
| Choose a strategy (short or long term) | For Filipinos seeking stable passive income and capital growth, prefer a long-term strategy to benefit from SCHD’s strong track record and consistent quarterly dividends. |
| Monitor news and financial results | Check updated fund reports, dividend announcements, and U.S. market news, as SCHD’s large-cap holdings may react to major economic or energy sector developments. |
| Use risk management tools | Set stop-loss or alert levels based on support and resistance points, and diversify investments to manage exposure to SCHD and USD volatility in PH context. |
| Sell at the right time | Consider selling or taking partial profits if SCHD approaches its technical resistance levels, or before significant market events that could impact U.S. dividend stocks. |
The latest news about Schwab U.S. Dividend Equity ETF
SCHD posted a 4.57% NAV gain for the past year, maintaining stability despite recent market fluctuations. The ETF closed at $26.08 on May 27, 2025, representing a 1-year price increase of 4.49% and demonstrating resilience through volatile periods, such as the broad U.S. equity corrections in early 2025. Its annualized 5-year NAV performance of 12.73% underscores strong historical results, offering reassurance to professional analysts in the Philippines seeking steady, long-term U.S. equity exposure.
The ETF’s 3.94% dividend yield remains highly attractive, with distributions paid quarterly including the recent $0.2488 payout. For Philippine investors, SCHD’s emphasis on qualified U.S. dividends and its tax efficiency makes it a practical choice for generating income, especially within investment portfolios targeting dollar-based returns and hedging against peso volatility. The most recent distribution (March 31, 2025) reinforces the fund’s commitment to reliable payouts from high-quality, established U.S. corporates.
SCHD’s robust screening criteria ensure portfolio quality, focusing on U.S. companies with over 10 years of consistent dividend payments. This strategy results in a portfolio dominated by blue-chip names like Coca-Cola, Verizon, and Cisco Systems. Such exposure is favorable for Philippine investors looking for stability and sector diversification outside the local market, with particular benefit given the fund’s minimal exposure to sectors often perceived as volatile in emerging markets, such as utilities and materials.
Current trading activity shows consolidation with reduced volatility, signaling possible near-term stability and entry opportunities. The technical indicators reveal a neutral 14-day RSI at 46.48 and subdued MACD, along with a bullish 20-day moving average. This technical environment may appeal to Philippine market participants monitoring the ETF for entry points, as the price remains close to key support levels ($25.56, $25.28), providing a relatively low-risk profile for new allocations compared to more volatile global benchmarks.
Schwab U.S. Dividend Equity ETF’s continued global popularity is reinforced by a 3-for-1 share split and high liquidity. The October 2024 share split increased affordability and potentially expanded access for retail and institutional investors in the Philippines, as evidenced by a 50-day average daily trading volume of 19 million shares. This liquidity, coupled with a competitive 0.06% expense ratio, makes SCHD an efficient vehicle for local investors to participate in the performance of high-quality U.S. dividend equities.
FAQ
What is the latest dividend for Schwab U.S. Dividend Equity ETF stock?
Schwab U.S. Dividend Equity ETF currently pays a dividend. The latest distribution was $0.2488 per share, paid on March 31, 2025. SCHD continues to offer attractive income with a 3.94% yield, making quarterly distributions. The ETF has a strong history of dividend growth over the years, appealing to income-focused investors.
What is the forecast for Schwab U.S. Dividend Equity ETF stock in 2025, 2026, and 2027?
Based on the current price of $26.08, the projected price for SCHD is $33.90 at the end of 2025, $39.12 at the end of 2026, and $52.16 at the end of 2027. SCHD benefits from its high-quality portfolio and robust long-term performance, giving it strong momentum for potential capital appreciation.
Should I sell my Schwab U.S. Dividend Equity ETF shares?
Holding onto Schwab U.S. Dividend Equity ETF shares may be a smart strategy, as the fund demonstrates resilience through its focus on well-established U.S. dividend-paying companies. SCHD’s historical performance, attractive yield, and disciplined investment approach support its long-term growth potential, making it a stable option amid market ups and downs.
How are dividends and capital gains from Schwab U.S. Dividend Equity ETF taxed in the Philippines?
Dividends and capital gains from Schwab U.S. Dividend Equity ETF are subject to Philippine tax rules for foreign investments. U.S. dividends typically have a 30% withholding tax, and Philippine residents must also declare these earnings and any gains for local income tax purposes. There is currently no local tax-friendly scheme for foreign ETFs like SCHD, so both the U.S. and Philippine tax obligations apply.
What is the latest dividend for Schwab U.S. Dividend Equity ETF stock?
Schwab U.S. Dividend Equity ETF currently pays a dividend. The latest distribution was $0.2488 per share, paid on March 31, 2025. SCHD continues to offer attractive income with a 3.94% yield, making quarterly distributions. The ETF has a strong history of dividend growth over the years, appealing to income-focused investors.
What is the forecast for Schwab U.S. Dividend Equity ETF stock in 2025, 2026, and 2027?
Based on the current price of $26.08, the projected price for SCHD is $33.90 at the end of 2025, $39.12 at the end of 2026, and $52.16 at the end of 2027. SCHD benefits from its high-quality portfolio and robust long-term performance, giving it strong momentum for potential capital appreciation.
Should I sell my Schwab U.S. Dividend Equity ETF shares?
Holding onto Schwab U.S. Dividend Equity ETF shares may be a smart strategy, as the fund demonstrates resilience through its focus on well-established U.S. dividend-paying companies. SCHD’s historical performance, attractive yield, and disciplined investment approach support its long-term growth potential, making it a stable option amid market ups and downs.
How are dividends and capital gains from Schwab U.S. Dividend Equity ETF taxed in the Philippines?
Dividends and capital gains from Schwab U.S. Dividend Equity ETF are subject to Philippine tax rules for foreign investments. U.S. dividends typically have a 30% withholding tax, and Philippine residents must also declare these earnings and any gains for local income tax purposes. There is currently no local tax-friendly scheme for foreign ETFs like SCHD, so both the U.S. and Philippine tax obligations apply.
