SCHD: Can It Keep Winning In 2026? Yes, It Can

Dividendology 2.78K Followers Follow Summary Schwab US Dividend Equity ETF has rebounded strongly in 2026, delivering over 27% total returns and attracting record inflows, reversing early-year bearish sentiment. SCHD's annual reconstitution enforces valuation discipline by removing low-yield, high-priced stocks, maintaining attractive P/E and price-to-cash-flow ratios versus the S&P 500. With a P/E of 19.57 and a price to cash flow of 11.33, the fund trades at a significant discount to the S&P 500, providing a less demanding valuation entry point. SCHD historically outperforms during bear markets, making it an effective hedge and a compelling choice for income, dividend growth, and diversification. PM Images/DigitalVision via Getty Images At the beginning of this year, sentiment surrounding Schwab US Dividend Equity ETF ( SCHD ) was perhaps the lowest I had ever seen it. Investors were questioning whether or not SCHD still deserved a place in This article was written by Dividendology 2.78K Followers Follow I believe value dividend investing has proven to be one of the most effect forms of investing as it allows you to buy quality companies at great prices while receiving cash flow, without selling your position in a stock. I have a degree in finance, a masters degree in data science, and have worked in finance my entire career. I am currently building a portfolio of dividend growth stocks that I believe will one day give me the ability to live off dividend income. I share my thoughts here on Seeking Alpha, Twitter, YouTube and Dividendology! Analyst’s Disclosure: I/we have a beneficial long position in the shares of SCHD either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.