Bank of New York Mellon (NYSE:BK) Reaches New 12-Month High - Here's What Happened

Key Points

• The Bank of New York Mellon shares reached a new 52-week high at $104.76, with a trading volume of over 3.6 million shares.
• Recent analyst ratings reveal a shift, with several firms raising their price targets; Keefe, Bruyette & Woods set the highest target at $113 with an "outperform" rating.
• The company announced a boosted quarterly dividend of $0.53 per share, up from $0.47, reflecting a 2.0% dividend yield.

The Bank of New York Mellon Corporation (NYSE:BK - Get Free Report) shares reached a new 52-week high on Wednesday . The stock traded as high as $104.76 and last traded at $104.54, with a volume of 3619553 shares traded. The stock had previously closed at $103.12.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on BK shares. Morgan Stanley raised their price objective on Bank of New York Mellon from $95.00 to $101.00 and gave the stock an "overweight" rating in a research note on Wednesday, July 16th. Evercore ISI increased their target price on Bank of New York Mellon from $88.00 to $90.00 and gave the company an "in-line" rating in a report on Wednesday, July 2nd. Wells Fargo & Company increased their target price on Bank of New York Mellon from $96.00 to $100.00 and gave the company an "equal weight" rating in a report on Wednesday, July 16th. Truist Financial increased their target price on Bank of New York Mellon from $100.00 to $109.00 and gave the company a "hold" rating in a report on Thursday, August 14th. Finally, Keefe, Bruyette & Woods increased their target price on Bank of New York Mellon from $105.00 to $113.00 and gave the company an "outperform" rating in a report on Wednesday, July 16th. Eight analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, Bank of New York Mellon presently has a consensus rating of "Moderate Buy" and an average target price of $95.08.

Bank of New York Mellon Trading Down 0.4%

The company has a debt-to-equity ratio of 0.86, a current ratio of 0.72 and a quick ratio of 0.72. The company has a fifty day moving average of $98.37 and a 200-day moving average of $89.31. The firm has a market capitalization of $74.52 billion, a PE ratio of 16.13, a price-to-earnings-growth ratio of 1.00 and a beta of 1.12.

Bank of New York Mellon (NYSE:BK - Get Free Report) last announced its quarterly earnings data on Tuesday, July 15th. The bank reported $1.94 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.73 by $0.21. Bank of New York Mellon had a return on equity of 13.46% and a net margin of 12.27%.The business had revenue of $4.77 billion during the quarter, compared to analyst estimates of $4.80 billion. During the same period last year, the company earned $1.51 earnings per share. Bank of New York Mellon's quarterly revenue was up 9.4% compared to the same quarter last year. On average, sell-side analysts anticipate that The Bank of New York Mellon Corporation will post 6.96 earnings per share for the current fiscal year.

Bank of New York Mellon Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, August 7th. Investors of record on Friday, July 25th were issued a dividend of $0.53 per share. This is a positive change from Bank of New York Mellon's previous quarterly dividend of $0.47. This represents a $2.12 annualized dividend and a dividend yield of 2.0%. The ex-dividend date was Friday, July 25th. Bank of New York Mellon's dividend payout ratio is 32.37%.

Insider Activity

In other Bank of New York Mellon news, EVP J Kevin Mccarthy sold 20,000 shares of the firm's stock in a transaction dated Tuesday, July 22nd. The stock was sold at an average price of $98.45, for a total transaction of $1,969,000.00. Following the transaction, the executive vice president directly owned 35,115 shares in the company, valued at $3,457,071.75. This trade represents a 36.29% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Corporate insiders own 0.14% of the company's stock.

Hedge Funds Weigh In On Bank of New York Mellon

Several institutional investors have recently bought and sold shares of BK. Norges Bank bought a new position in Bank of New York Mellon during the second quarter valued at about $1,081,847,000. Nuveen LLC bought a new position in Bank of New York Mellon during the first quarter valued at about $773,627,000. Qube Research & Technologies Ltd bought a new position in Bank of New York Mellon during the second quarter valued at about $135,728,000. GAMMA Investing LLC raised its holdings in Bank of New York Mellon by 9,538.9% during the first quarter. GAMMA Investing LLC now owns 1,399,958 shares of the bank's stock valued at $117,414,000 after buying an additional 1,385,434 shares in the last quarter. Finally, AustralianSuper Pty Ltd bought a new position in Bank of New York Mellon during the first quarter valued at about $92,502,000. 85.31% of the stock is currently owned by institutional investors.

About Bank of New York Mellon

The Bank of New York Mellon Corporation provides a range of financial products and services in the United States and internationally. The company operates through Securities Services, Market and Wealth Services, Investment and Wealth Management, and other segments. The Securities Services segment offers custody, trust and depositary, accounting, exchange-traded funds, middle-office solutions, transfer agency, services for private equity and real estate funds, foreign exchange, securities lending, liquidity/lending services, and data analytics.