Newport Trust Company LLC Cuts Holdings in State Street Corporation $STT

Key Points

• Newport Trust Company LLC has reduced its stake in State Street Corporation by 1.6%, owning approximately 0.56% of the company worth $143.19 million after selling 26,108 shares.
• State Street has received multiple rating upgrades from analysts, with a consensus target price now set at $112.82 and a "Moderate Buy" rating.
• The company recently announced an increased quarterly dividend of $0.84 per share, up from the previous $0.76, reflecting a commitment to returning value to shareholders.

Newport Trust Company LLC lessened its stake in State Street Corporation (NYSE:STT - Free Report) by 1.6% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 1,599,368 shares of the asset manager's stock after selling 26,108 shares during the period. Newport Trust Company LLC owned about 0.56% of State Street worth $143,191,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently modified their holdings of STT. Brighton Jones LLC bought a new position in State Street during the 4th quarter valued at approximately $296,000. MML Investors Services LLC raised its position in State Street by 5.9% during the 4th quarter. MML Investors Services LLC now owns 11,895 shares of the asset manager's stock valued at $1,168,000 after purchasing an additional 659 shares during the last quarter. OneDigital Investment Advisors LLC raised its position in State Street by 6.9% during the 4th quarter. OneDigital Investment Advisors LLC now owns 3,259 shares of the asset manager's stock valued at $320,000 after purchasing an additional 209 shares during the last quarter. Price T Rowe Associates Inc. MD raised its position in State Street by 236.3% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 2,309,130 shares of the asset manager's stock valued at $226,642,000 after purchasing an additional 1,622,408 shares during the last quarter. Finally, MGO One Seven LLC bought a new position in State Street during the 4th quarter valued at approximately $247,000. Institutional investors own 87.44% of the company's stock.

State Street Stock Up 2.7%

Shares of State Street stock traded up $3.0010 during midday trading on Friday, hitting $115.3610. The company had a trading volume of 2,144,667 shares, compared to its average volume of 1,532,551. The company has a debt-to-equity ratio of 1.09, a quick ratio of 0.57 and a current ratio of 0.57. The stock has a market capitalization of $32.73 billion, a P/E ratio of 12.92, a P/E/G ratio of 1.13 and a beta of 1.48. The company has a 50 day moving average of $108.38 and a 200 day moving average of $97.45. State Street Corporation has a 52-week low of $72.81 and a 52-week high of $115.65.

State Street (NYSE:STT - Get Free Report) last posted its quarterly earnings results on Tuesday, July 15th. The asset manager reported $2.53 earnings per share for the quarter, topping the consensus estimate of $2.36 by $0.17. The company had revenue of $3.47 billion for the quarter, compared to the consensus estimate of $3.33 billion. State Street had a return on equity of 12.96% and a net margin of 12.59%.The firm's quarterly revenue was up 2.9% compared to the same quarter last year. During the same quarter in the prior year, the business posted $2.15 EPS. On average, equities analysts predict that State Street Corporation will post 9.68 earnings per share for the current fiscal year.

State Street Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, October 14th. Investors of record on Wednesday, October 1st will be paid a $0.84 dividend. This represents a $3.36 annualized dividend and a dividend yield of 2.9%. The ex-dividend date is Wednesday, October 1st. This is an increase from State Street's previous quarterly dividend of $0.76. State Street's dividend payout ratio (DPR) is currently 34.04%.

Insider Buying and Selling at State Street

In related news, EVP Michael L. Richards sold 990 shares of the company's stock in a transaction that occurred on Tuesday, July 22nd. The stock was sold at an average price of $109.29, for a total value of $108,197.10. Following the sale, the executive vice president owned 41,332 shares in the company, valued at $4,517,174.28. This represents a 2.34% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. 0.29% of the stock is owned by insiders.

Analyst Ratings Changes

A number of research analysts have commented on the company. Bank of America upped their price target on State Street from $106.00 to $109.00 and gave the company an "underperform" rating in a research report on Wednesday, July 16th. Morgan Stanley increased their target price on State Street from $110.00 to $114.00 and gave the stock an "overweight" rating in a research report on Tuesday, July 1st. Evercore ISI increased their target price on State Street from $102.00 to $115.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 2nd. Truist Financial increased their target price on State Street from $116.00 to $125.00 and gave the stock a "buy" rating in a research report on Thursday, August 14th. Finally, Cfra Research raised State Street from a "hold" rating to a "moderate buy" rating in a research report on Tuesday, July 15th. Seven analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $112.82.

State Street Company Profile

State Street Corporation, through its subsidiaries, provides a range of financial products and services to institutional investors worldwide. The company offers investment servicing products and services, including custody, accounting, regulatory reporting, investor, and performance and analytics; middle office products, such as IBOR, transaction management, loans, cash, derivatives and collateral, record keeping, and client reporting and investment analytics; finance leasing; foreign exchange, and brokerage and other trading services; securities finance and enhanced custody products; deposit and short-term investment facilities; investment manager and alternative investment manager operations outsourcing; performance, risk, and compliance analytics; and financial data management to support institutional investors.