Vanguard Group Inc. Lowers Holdings in The Bank of New York Mellon Corporation (NYSE:BK)

Key Points

• Vanguard Group Inc. has reduced its stake in The Bank of New York Mellon by 1.9%, selling 1,341,806 shares, and now holds 70,575,067 shares, representing 9.86% of the company's stock.
• The Bank of New York Mellon announced an increase in its quarterly dividend from $0.47 to $0.53 per share, indicating a yield of 2.1%.
• Recent analyst reports have led to revised target prices for Bank of New York Mellon shares, with ratings ranging from "buy" to "hold", reflecting a positive outlook for the stock.

Vanguard Group Inc. reduced its stake in The Bank of New York Mellon Corporation (NYSE:BK - Free Report) by 1.9% in the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 70,575,067 shares of the bank's stock after selling 1,341,806 shares during the quarter. Vanguard Group Inc. owned approximately 9.86% of Bank of New York Mellon worth $5,919,131,000 at the end of the most recent quarter.

Other large investors also recently added to or reduced their stakes in the company. Parvin Asset Management LLC purchased a new stake in Bank of New York Mellon in the fourth quarter valued at $25,000. Opal Wealth Advisors LLC purchased a new stake in Bank of New York Mellon in the first quarter valued at $25,000. Alpine Bank Wealth Management purchased a new stake in Bank of New York Mellon in the first quarter valued at $25,000. Bellwether Advisors LLC purchased a new stake in Bank of New York Mellon in the fourth quarter valued at $28,000. Finally, REAP Financial Group LLC raised its position in Bank of New York Mellon by 123.2% in the fourth 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 period. 85.31% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling

In related news, EVP J Kevin Mccarthy sold 20,000 shares of the company's 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 completion of the sale, the executive vice president owned 35,115 shares in the company, valued at $3,457,071.75. This represents a 36.29% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 0.14% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

BK has been the subject of several research analyst reports. Truist Financial raised their price target on Bank of New York Mellon from $97.00 to $100.00 and gave the stock a "hold" rating in a research report on Wednesday, July 16th. Morgan Stanley raised their price target on Bank of New York Mellon from $95.00 to $101.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 16th. Evercore ISI raised their price target on Bank of New York Mellon from $88.00 to $90.00 and gave the stock an "in-line" rating in a research report on Wednesday, July 2nd. Wells Fargo & Company raised their price target on Bank of New York Mellon from $96.00 to $100.00 and gave the stock an "equal weight" rating in a research report on Wednesday, July 16th. Finally, Keefe, Bruyette & Woods upped their price objective on Bank of New York Mellon from $105.00 to $113.00 and gave the stock an "outperform" 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 stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $94.38.

Bank of New York Mellon Stock Up 1.0%

Shares of Bank of New York Mellon stock traded up $1.01 during trading on Friday, hitting $103.22. 3,083,288 shares of the stock were exchanged, compared to its average volume of 4,312,141. The stock has a market cap of $72.79 billion, a price-to-earnings ratio of 15.76, a price-to-earnings-growth ratio of 0.99 and a beta of 1.12. The firm's 50-day moving average price is $94.41 and its 200 day moving average price is $87.48. The Bank of New York Mellon Corporation has a 12-month low of $62.83 and a 12-month high of $103.98. The company has a debt-to-equity ratio of 0.86, a current ratio of 0.72 and a quick ratio of 0.69.

Bank of New York Mellon (NYSE:BK - Get Free Report) last posted its earnings results on Tuesday, July 15th. The bank reported $1.94 EPS for the quarter, beating analysts' consensus estimates of $1.73 by $0.21. The firm had revenue of $4.77 billion for the quarter, compared to the consensus estimate of $4.80 billion. Bank of New York Mellon had a net margin of 12.27% and a return on equity of 13.46%. The company's revenue was up 9.4% on a year-over-year basis. During the same period last year, the firm posted $1.51 EPS. As a group, analysts forecast that The Bank of New York Mellon Corporation will post 6.96 earnings per share for the current fiscal year.

Bank of New York Mellon Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 7th. Investors of record on Friday, July 25th were given a $0.53 dividend. This is a positive change 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 2.1%. Bank of New York Mellon's payout ratio is currently 32.37%.

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.