Dodge & Cox Has $3.52 Billion Stake in The Bank of New York Mellon Corporation $BK

Key Points

• Dodge & Cox reduced its stake in The Bank of New York Mellon Corporation (NYSE:BK) by 6.1%, now holding approximately $3.52 billion worth of shares, which accounts for 2.0% of its investment portfolio.
• The company recently increased its quarterly dividend from $0.47 to $0.53, representing a yield of 2.1% and a dividend payout ratio of 32.37%.
• In its latest earnings report, Bank of New York Mellon beat consensus earnings estimates with $1.94 EPS, although revenue of $4.77 billion fell slightly short of expectations.

Dodge & Cox decreased its position in shares of The Bank of New York Mellon Corporation (NYSE:BK - Free Report) by 6.1% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 41,976,640 shares of the bank's stock after selling 2,722,558 shares during the period. Bank of New York Mellon accounts for 2.0% of Dodge & Cox's investment portfolio, making the stock its 13th biggest holding. Dodge & Cox owned approximately 5.87% of Bank of New York Mellon worth $3,520,581,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also recently bought and sold shares of the company. Smartleaf Asset Management LLC lifted its position in Bank of New York Mellon by 15.5% during the 1st quarter. Smartleaf Asset Management LLC now owns 6,201 shares of the bank's stock worth $513,000 after acquiring an additional 833 shares during the last quarter. Northwestern Mutual Wealth Management Co. lifted its position in Bank of New York Mellon by 170.6% during the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 104,037 shares of the bank's stock worth $8,726,000 after acquiring an additional 65,588 shares during the last quarter. Haverford Trust Co lifted its position in Bank of New York Mellon by 4.3% during the 1st quarter. Haverford Trust Co now owns 3,133 shares of the bank's stock worth $263,000 after acquiring an additional 130 shares during the last quarter. Sax Wealth Advisors LLC lifted its position in Bank of New York Mellon by 2.3% during the 1st quarter. Sax Wealth Advisors LLC now owns 5,278 shares of the bank's stock worth $443,000 after acquiring an additional 117 shares during the last quarter. Finally, Allstate Corp raised its position in shares of Bank of New York Mellon by 55.7% during the first quarter. Allstate Corp now owns 33,599 shares of the bank's stock valued at $2,818,000 after buying an additional 12,024 shares during the last quarter. Institutional investors and hedge funds own 85.31% of the company's stock.

Bank of New York Mellon Trading Up 0.8%

Shares of NYSE BK opened at $102.5460 on Friday. The company's 50 day simple moving average is $96.97 and its 200 day simple moving average is $88.62. The Bank of New York Mellon Corporation has a fifty-two week low of $65.50 and a fifty-two week high of $104.47. The firm has a market capitalization of $72.32 billion, a P/E ratio of 15.66, a P/E/G ratio of 0.96 and a beta of 1.12. The company has a debt-to-equity ratio of 0.86, a current ratio of 0.72 and a quick ratio of 0.72.

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 for the quarter, beating the consensus estimate of $1.73 by $0.21. Bank of New York Mellon had a net margin of 12.27% and a return on equity of 13.46%. The business had revenue of $4.77 billion for the quarter, compared to analyst estimates of $4.80 billion. During the same period in the prior year, the business posted $1.51 earnings per share. Bank of New York Mellon's revenue was up 9.4% compared to the same quarter last year. On average, analysts predict that The Bank of New York Mellon Corporation will post 6.96 EPS for the current year.

Bank of New York Mellon Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, August 7th. Shareholders of record on Friday, July 25th were issued a $0.53 dividend. This represents a $2.12 annualized dividend and a yield of 2.1%. This is a boost from Bank of New York Mellon's previous quarterly dividend of $0.47. The ex-dividend date was Friday, July 25th. Bank of New York Mellon's dividend payout ratio (DPR) is 32.37%.

Analysts Set New Price Targets

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

Insiders Place Their Bets

In other Bank of New York Mellon news, EVP J Kevin Mccarthy sold 20,000 shares of the stock in a transaction on Tuesday, July 22nd. The shares were sold at an average price of $98.45, for a total value of $1,969,000.00. Following the sale, the executive vice president directly owned 35,115 shares in the company, valued at approximately $3,457,071.75. This trade represents a 36.29% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 0.14% of the company's stock.

Bank of New York Mellon Company Profile

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.

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