State Street Corporation $STT Shares Sold by Prudential PLC

Key Points

• Prudential PLC reduced its stake in State Street by 9.1% in the fourth quarter, selling 9,740 shares and leaving it with 97,743 shares valued at about $12.6 million.
• State Street insiders also sold shares recently, including CEO Ronald P. O. Hanley and EVP W. Bradford Hu, with insider sales totaling 52,476 shares worth about $7.6 million over the last 90 days.
• The company reported better-than-expected Q1 results, with EPS of $2.84 versus $2.64 expected and revenue of $3.80 billion, and it also announced a $0.84 quarterly dividend yielding about 2.1%.

Prudential PLC cut its stake in State Street Corporation (NYSE:STT - Free Report) by 9.1% during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 97,743 shares of the asset manager's stock after selling 9,740 shares during the period. Prudential PLC's holdings in State Street were worth $12,610,000 at the end of the most recent reporting period.

Several other institutional investors have also recently added to or reduced their stakes in the stock. Chicago Partners Investment Group LLC grew its position in shares of State Street by 1.6% during the fourth quarter. Chicago Partners Investment Group LLC now owns 5,351 shares of the asset manager's stock worth $675,000 after acquiring an additional 83 shares during the last quarter. Wedmont Private Capital grew its position in shares of State Street by 1.3% during the fourth quarter. Wedmont Private Capital now owns 6,498 shares of the asset manager's stock worth $861,000 after acquiring an additional 85 shares during the last quarter. Arjuna Capital grew its position in shares of State Street by 0.4% during the fourth quarter. Arjuna Capital now owns 25,139 shares of the asset manager's stock worth $3,243,000 after acquiring an additional 95 shares during the last quarter. LVW Advisors LLC grew its position in shares of State Street by 1.7% during the fourth quarter. LVW Advisors LLC now owns 5,605 shares of the asset manager's stock worth $723,000 after acquiring an additional 96 shares during the last quarter. Finally, Security National Bank of SO Dak grew its position in shares of State Street by 0.5% during the second quarter. Security National Bank of SO Dak now owns 21,528 shares of the asset manager's stock worth $2,289,000 after acquiring an additional 105 shares during the last quarter. 87.44% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling

In other State Street news, CEO Hanley Ronald P. O sold 14,553 shares of the company's stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $155.35, for a total value of $2,260,808.55. Following the completion of the sale, the chief executive officer directly owned 255,512 shares of the company's stock, valued at approximately $39,693,789.20. This represents a 5.39% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP W. Bradford Hu sold 9,212 shares of the company's stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $155.35, for a total transaction of $1,431,084.20. Following the completion of the sale, the executive vice president directly owned 59,552 shares of the company's stock, 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. Insiders sold 52,476 shares of company stock worth $7,624,925 in the last ninety days. Insiders own 0.27% of the company's stock.

State Street Stock Performance

Shares of STT opened at $161.73 on Friday. The firm has a 50-day moving average price of $146.97 and a 200 day moving average price of $133.67. The firm has a market capitalization of $44.76 billion, a PE ratio of 16.40, a P/E/G ratio of 0.89 and a beta of 1.43. The company has a quick ratio of 0.57, a current ratio of 0.57 and a debt-to-equity ratio of 1.04. State Street Corporation has a 52-week low of $95.67 and a 52-week high of $163.95.

State Street (NYSE:STT - Get Free Report) last announced its earnings results on Friday, April 17th. The asset manager reported $2.84 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.64 by $0.20. State Street had a net margin of 13.47% and a return on equity of 14.22%. The firm had revenue of $3.80 billion during the quarter, compared to analyst estimates of $3.59 billion. During the same quarter in the prior year, the firm posted $2.04 EPS. State Street's revenue was up 15.6% compared to the same quarter last year. On average, sell-side analysts anticipate that State Street Corporation will post 12.35 earnings per share for the current fiscal year.

State Street Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, July 13th. Shareholders of record on Wednesday, July 1st will be issued a $0.84 dividend. This represents a $3.36 dividend on an annualized basis and a yield of 2.1%. The ex-dividend date of this dividend is Wednesday, July 1st. State Street's dividend payout ratio is presently 34.08%.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on STT. Royal Bank Of Canada upped their price target on shares of State Street from $135.00 to $155.00 and gave the stock a "sector perform" rating in a research report on Monday, April 20th. Bank of America upgraded shares of State Street from an "underperform" rating to a "neutral" rating and set a $143.00 price target for the company in a research report on Monday, April 6th. Barclays set a $165.00 target price on shares of State Street in a research report on Monday, April 20th. Keefe, Bruyette & Woods increased their target price on shares of State Street from $157.00 to $175.00 and gave the company an "outperform" rating in a research report on Monday, April 20th. Finally, Seaport Research Partners reiterated a "buy" rating and issued a $170.00 target price on shares of State Street in a research report on Monday, April 20th. Three investment analysts have rated the stock with a Strong Buy rating, eight have assigned a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $158.57.

Key State Street News

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

• Positive Sentiment: State Street expanded its investment servicing relationship with Principal Financial Group, which suggests continued demand for its institutional servicing and custody business. State Street Expands Investment Servicing Relationship with Principal Financial Group®
• Positive Sentiment: Analysts continue to rate State Street as a “Moderate Buy,” reinforcing a constructive view on the company’s earnings outlook and valuation. State Street Corporation NYSE: STT Receives Average Rating of "Moderate Buy" from Analysts
• Neutral Sentiment: State Street filed multiple notices showing it ceased to be a substantial holder in several Australian companies, including SRG Global, Super Retail Group, Kingsgate Consolidated, Polynovo, Centuria Capital, Emerald Resources, Amplitude Energy, Bega Cheese, and Service Stream. These are portfolio repositioning updates and do not directly change State Street’s core earnings picture.
• Neutral Sentiment: Investor commentary around the rejected independent-chair proposal and relative stock underperformance highlights ongoing governance and sentiment questions, but these items are more of a market narrative than a fundamental catalyst. Did State Street’s Rejected Independent-Chair Proposal Reframe Its Governance Trade-offs for Investors in STT?

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.

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