Northwestern Mutual Wealth Management Co. Has $3.35 Million Position in State Street Corporation $STT

Key Points

• Northwestern Mutual Wealth Management increased its State Street position by 37.7% in the second quarter, bringing its holdings to 19,770 shares valued at approximately $3.35 million. Institutional investors collectively own 87.44% of STT.
• State Street reported quarterly earnings of $3.65 per share, exceeding estimates of $3.34, while revenue rose 23.3% year over year to $4.05 billion.
• The company raised its quarterly dividend from $0.84 to $0.92 per share, equivalent to an annualized dividend of $3.68 and a 1.9% yield. Analysts maintain a “Moderate Buy” consensus rating, with an average price target of $185.38.

Northwestern Mutual Wealth Management Co. lifted its holdings in shares of State Street Corporation (NYSE:STT - Free Report) by 37.7% during the 2nd quarter, according to its most recent disclosure with the SEC. The fund owned 19,770 shares of the asset manager's stock after purchasing an additional 5,413 shares during the period. Northwestern Mutual Wealth Management Co.'s holdings in State Street were worth $3,353,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently made changes to their positions in STT. Philadelphia Investment Partners LLC acquired a new position in State Street during the 2nd quarter worth about $26,000. Bell Investment Advisors Inc bought a new position in shares of State Street in the second quarter worth about $28,000. Wilkerson Advisory Group LLC bought a new position in shares of State Street in the fourth quarter worth about $29,000. JPL Wealth Management LLC acquired a new position in shares of State Street during the third quarter worth approximately $29,000. Finally, Phillip James Consulting Co. acquired a new position in shares of State Street during the fourth quarter worth approximately $30,000. 87.44% of the stock is currently owned by institutional investors and hedge funds.

State Street Stock Performance

STT stock opened at $193.91 on Friday. State Street Corporation has a 1-year low of $104.64 and a 1-year high of $195.93. The company has a current ratio of 0.59, a quick ratio of 0.59 and a debt-to-equity ratio of 1.04. The firm has a market cap of $53.27 billion, a PE ratio of 17.10, a P/E/G ratio of 0.90 and a beta of 1.41. The business's 50-day moving average price is $184.01 and its two-hundred day moving average price is $157.82.

State Street (NYSE:STT - Get Free Report) last released its quarterly earnings results on Thursday, July 16th. The asset manager reported $3.65 earnings per share for the quarter, beating the consensus estimate of $3.34 by $0.31. The company had revenue of $4.05 billion during the quarter, compared to analysts' expectations of $3.88 billion. State Street had a net margin of 15.02% and a return on equity of 15.26%. The business's quarterly revenue was up 23.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.04 earnings per share. As a group, research analysts forecast that State Street Corporation will post 13.75 earnings per share for the current year.

State Street Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, October 13th. Stockholders of record on Thursday, October 1st will be paid a dividend of $0.92 per share. The ex-dividend date of this dividend is Thursday, October 1st. This represents a $3.68 annualized dividend and a dividend yield of 1.9%. This is an increase from State Street's previous quarterly dividend of $0.84. State Street's dividend payout ratio (DPR) is 29.63%.

Insider Activity

In related news, EVP W. Hu sold 9,758 shares of State Street stock in a transaction dated Friday, July 24th. The stock was sold at an average price of $184.52, for a total value of $1,800,546.16. Following the sale, the executive vice president owned 49,794 shares of the company's stock, valued at approximately $9,187,988.88. The trade was a 16.39% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Hanley Ronald P. O sold 14,553 shares of the firm's stock in a transaction that occurred on Tuesday, July 21st. The shares were sold at an average price of $184.17, for a total value of $2,680,226.01. Following the completion of the transaction, the chief executive officer owned 240,959 shares of the company's stock, valued at approximately $44,377,419.03. This represents a 5.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 25,811 shares of company stock worth $4,723,982 over the last ninety days. Insiders own 0.27% of the company's stock.

Wall Street Analyst Weigh In

STT has been the subject of a number of research reports. Wells Fargo & Company raised their price target on shares of State Street from $196.00 to $215.00 and gave the company an "overweight" rating in a report on Friday, July 17th. Evercore set a $200.00 price objective on State Street in a research report on Monday, July 20th. JPMorgan Chase & Co. lifted their target price on State Street from $176.50 to $187.00 and gave the company a "neutral" rating in a research note on Tuesday, August 4th. The Goldman Sachs Group boosted their target price on State Street from $168.00 to $194.00 and gave the stock a "buy" rating in a research report on Tuesday, June 30th. Finally, Weiss Ratings reiterated a "buy (b+)" rating on shares of State Street in a report on Tuesday, August 25th. Two investment analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating and five have given a Hold rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $185.38.

About State Street

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.

Want to see what other hedge funds are holding STT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for State Street Corporation (NYSE:STT - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source