California Public Employees Retirement System Boosts Stock Position in State Street Corporation $STT

Key Points

• California Public Employees Retirement System increased its State Street stake by 13.4% in Q1, buying 72,596 additional shares to hold 616,336 shares worth about $78 million.
• State Street reported strong quarterly results, posting $3.65 EPS and $4.05 billion in revenue, both above analyst expectations, with revenue up 23.3% year over year.
• The company also raised its dividend to $0.92 per share quarterly from $0.84, and analysts have largely turned positive, with several lifting price targets after the earnings beat.

California Public Employees Retirement System raised its holdings in State Street Corporation (NYSE:STT - Free Report) by 13.4% during the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 616,336 shares of the asset manager's stock after purchasing an additional 72,596 shares during the period. California Public Employees Retirement System owned about 0.22% of State Street worth $78,003,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently made changes to their positions in STT. Kera Capital Partners Inc. increased its stake in shares of State Street by 4.7% in the first quarter. Kera Capital Partners Inc. now owns 4,160 shares of the asset manager's stock worth $527,000 after buying an additional 188 shares during the last quarter. Modera Wealth Management LLC boosted its stake in State Street by 5.7% during the 1st quarter. Modera Wealth Management LLC now owns 3,417 shares of the asset manager's stock valued at $433,000 after acquiring an additional 184 shares during the last quarter. Catalyst Capital Advisors LLC bought a new position in State Street during the 1st quarter valued at $2,784,000. Assetmark Inc. grew its holdings in State Street by 20.0% during the 1st quarter. Assetmark Inc. now owns 3,291 shares of the asset manager's stock worth $417,000 after acquiring an additional 549 shares in the last quarter. Finally, Angeles Wealth Management LLC grew its holdings in State Street by 4.7% during the 1st quarter. Angeles Wealth Management LLC now owns 2,340 shares of the asset manager's stock worth $296,000 after acquiring an additional 106 shares in the last quarter. 87.44% of the stock is currently owned by hedge funds and other institutional investors.

State Street Trading Down 0.1%

State Street stock opened at $182.27 on Monday. The firm's 50-day moving average is $165.83 and its 200-day moving average is $144.18. The company has a debt-to-equity ratio of 1.04, a quick ratio of 0.57 and a current ratio of 0.59. State Street Corporation has a 1 year low of $104.64 and a 1 year high of $192.51. The company has a market cap of $50.45 billion, a P/E ratio of 16.07, a PEG ratio of 0.90 and a beta of 1.42.

State Street (NYSE:STT - Get Free Report) last posted its quarterly earnings results on Thursday, July 16th. The asset manager reported $3.65 EPS for the quarter, beating the consensus estimate of $3.34 by $0.31. State Street had a net margin of 15.02% and a return on equity of 15.26%. The business had revenue of $4.05 billion during the quarter, compared to analyst estimates of $3.88 billion. During the same period in the previous year, the business posted $2.04 EPS. The company's quarterly revenue was up 23.3% on a year-over-year basis. On average, equities analysts expect that State Street Corporation will post 13.35 earnings per share for the current year.

State Street Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, October 13th. Shareholders of record on Thursday, October 1st will be paid a $0.92 dividend. The ex-dividend date is Thursday, October 1st. This is an increase from State Street's previous quarterly dividend of $0.84. This represents a $3.68 dividend on an annualized basis and a yield of 2.0%. State Street's payout ratio is presently 29.63%.

Analyst Ratings Changes

Several equities research analysts have recently weighed in on the stock. The Goldman Sachs Group boosted their target price on shares of State Street from $168.00 to $194.00 and gave the stock a "buy" rating in a research report on Tuesday, June 30th. Zacks Research downgraded State Street from a "strong-buy" rating to a "hold" rating in a research note on Monday, June 22nd. Evercore set a $186.00 price target on State Street and gave the stock an "outperform" rating in a research note on Monday, July 6th. UBS Group set a $176.00 price objective on State Street in a report on Friday, June 26th. Finally, Citigroup upped their price objective on State Street from $193.00 to $210.00 and gave the company a "buy" rating in a research note on Friday. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat.com, State Street currently has an average rating of "Moderate Buy" and a consensus price target of $183.84.

Insider Buying and Selling

In other news, COO Mostapha Tahiri sold 9,611 shares of the company's stock in a transaction that occurred on Wednesday, April 22nd. The stock was sold at an average price of $152.93, for a total transaction of $1,469,810.23. Following the completion of the transaction, the chief operating officer directly owned 64,642 shares of the company's stock, valued at approximately $9,885,701.06. This represents a 12.94% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP W. Bradford Hu sold 9,212 shares of the stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $155.35, for a total value of $1,431,084.20. Following the sale, the executive vice president owned 59,552 shares in the company, valued at $9,251,403.20. The trade was a 13.40% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 37,876 shares of company stock valued at $5,866,583. 0.27% of the stock is currently owned by insiders.

Trending Headlines about State Street

Here are the key news stories impacting State Street this week:

• Positive Sentiment: State Street delivered a Q2 earnings beat, reporting $3.65 EPS on $4.05 billion in revenue versus expectations of $3.34 EPS and $3.88 billion in sales, supported by higher fee income, stronger net interest income, and no credit-loss provision. State Street Corporation NYSE: STT Reports Second-Quarter 2026 Financial Results
• Positive Sentiment: Management’s update showed strong operating momentum, with assets under custody and management reaching record levels and revenue growth accelerating sharply year over year, reinforcing confidence in the company’s earnings power. State Street's quarterly profit jumps 56% on strong fee income
• Positive Sentiment: Several analysts turned more constructive after the results, including KBW and Wells Fargo, both lifting their price targets to $215, while RBC raised its target to $196, signaling expectations for additional upside. These Analysts Raise Their Forecasts On State Street Following Upbeat Q2 Results
• Neutral Sentiment: Truist reaffirmed its hold rating but still increased its target to $191, suggesting the earnings strength improved valuation expectations even without a bullish rating change. Benzinga analyst update on State Street
• Neutral Sentiment: Commentary on digital custody, ETF pricing pressure, and macro-driven operating leverage adds context, but the immediate stock move appears to be driven mainly by the earnings beat and analyst upgrades. State Street Q2: Macro Conditions Continue To Drive Healthy Operating Leverage

State Street Company Profile

State Street Corporation is a global financial services company that provides a range of investment servicing, investment management and investment research and trading services to institutional investors. Its principal activities include custody and fund administration, securities lending, performance and risk analytics, trading and execution services, and foreign exchange. The company also offers investment management through State Street Global Advisors, a major provider of exchange-traded funds and institutional investment strategies.

State Street serves a broad client base of asset managers, insurance companies, pension funds, endowments, and other institutions across North America, Europe, Asia and other global markets.

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