Nuveen LLC Invests $773.63 Million in The Bank of New York Mellon Corporation (NYSE:BK)

Key Points

• Nuveen LLC acquired approximately 9.2 million shares of The Bank of New York Mellon, valued at around $773 million, enhancing its ownership to about 1.29% of the bank.
• The Bank of New York Mellon recently raised its quarterly dividend from $0.47 to $0.53 per share, resulting in an annualized yield of 2.1%.
• Despite mixed earnings estimates, analysts have generally rated the stock positively, with a consensus target price of $94.38 and a mix of hold and buy ratings from several research firms.

Nuveen LLC purchased a new position in shares of The Bank of New York Mellon Corporation (NYSE:BK - Free Report) in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund purchased 9,224,118 shares of the bank's stock, valued at approximately $773,627,000. Nuveen LLC owned approximately 1.29% of Bank of New York Mellon as of its most recent SEC filing.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Parvin Asset Management LLC acquired a new position in shares of Bank of New York Mellon in the 4th quarter valued at $25,000. Opal Wealth Advisors LLC acquired a new position in shares of Bank of New York Mellon in the 1st quarter valued at $25,000. Alpine Bank Wealth Management purchased a new stake in Bank of New York Mellon in the 1st quarter valued at $25,000. Bellwether Advisors LLC purchased a new stake in Bank of New York Mellon in the 4th quarter valued at $28,000. Finally, REAP Financial Group LLC raised its position in Bank of New York Mellon by 123.2% in the 4th quarter. REAP Financial Group LLC now owns 395 shares of the bank's stock valued at $30,000 after purchasing an additional 218 shares during the last quarter. Institutional investors and hedge funds own 85.31% of the company's stock.

Bank of New York Mellon Stock Performance

Bank of New York Mellon stock traded up $0.36 during trading hours on Tuesday, reaching $103.63. 2,870,391 shares of the stock were exchanged, compared to its average volume of 4,042,535. The firm's 50 day moving average is $94.98 and its 200 day moving average is $87.76. The company has a debt-to-equity ratio of 0.86, a quick ratio of 0.72 and a current ratio of 0.72. The stock has a market cap of $73.08 billion, a P/E ratio of 15.82, a P/E/G ratio of 1.00 and a beta of 1.12. The Bank of New York Mellon Corporation has a 52-week low of $62.83 and a 52-week high of $104.47.

Bank of New York Mellon (NYSE:BK - Get Free Report) last issued its quarterly earnings data on Tuesday, July 15th. The bank reported $1.94 EPS for the quarter, beating analysts' consensus estimates 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 firm had revenue of $4.77 billion for the quarter, compared to analysts' expectations of $4.80 billion. During the same period in the prior year, the company earned $1.51 EPS. The firm's revenue was up 9.4% on a year-over-year basis. Analysts predict that The Bank of New York Mellon Corporation will post 6.96 EPS for the current fiscal year.

Bank of New York Mellon Increases Dividend

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

Insiders Place Their Bets

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 shares were sold at an average price of $98.45, for a total transaction of $1,969,000.00. Following the completion of the transaction, 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 position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Company insiders own 0.14% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms recently commented on BK. Evercore ISI upped their price target on shares of Bank of New York Mellon from $88.00 to $90.00 and gave the company an "in-line" rating in a research report on Wednesday, July 2nd. Keefe, Bruyette & Woods upped 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 report on Wednesday, July 16th. Morgan Stanley upped their price target on shares of Bank of New York Mellon from $95.00 to $101.00 and gave the company an "overweight" rating in a research report on Wednesday, July 16th. Wells Fargo & Company upped their price target on shares of Bank of New York Mellon from $96.00 to $100.00 and gave the company an "equal weight" rating in a research report on Wednesday, July 16th. Finally, Truist Financial upped their price target on shares of Bank of New York Mellon from $97.00 to $100.00 and gave the company a "hold" rating in a research report on Wednesday, July 16th. Seven investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $94.38.

Bank of New York Mellon 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.