Northern Trust Corporation (NASDAQ:NTRS) Declares Quarterly Dividend of $0.80

Key Points

• Northern Trust declared a quarterly dividend of $0.80 per share (annualized $3.20) with an ex-dividend/record date of June 5 and a payment date of July 1, implying a yield of about 1.9%.
• The firm beat expectations for the quarter, reporting EPS of $2.71 versus $2.37 expected and revenue of $2.21B (up 13.8% YoY), with a net margin of 12.15% and ROE of 14.87%.
• Analysts hold a consensus rating of Hold with a $156.45 target; the stock trades near its 52-week high (~$171) with a market cap of $31.8B and a P/E of about 19.7.

Northern Trust Corporation (NASDAQ:NTRS - Get Free Report) announced a quarterly dividend on Tuesday, April 21st. Investors of record on Friday, June 5th will be given a dividend of 0.80 per share by the asset manager on Wednesday, July 1st. This represents a c) annualized dividend and a yield of 1.9%. The ex-dividend date is Friday, June 5th.

Northern Trust has increased its dividend payment by an average of 0.0%annually over the last three years. Northern Trust has a dividend payout ratio of 37.5% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Northern Trust to earn $11.40 per share next year, which means the company should continue to be able to cover its $3.20 annual dividend with an expected future payout ratio of 28.1%.

Northern Trust Stock Performance

Shares of NASDAQ NTRS opened at $171.74 on Wednesday. The company has a quick ratio of 0.69, a current ratio of 0.69 and a debt-to-equity ratio of 0.57. The firm's 50-day moving average price is $144.44 and its two-hundred day moving average price is $139.21. Northern Trust has a 52-week low of $88.25 and a 52-week high of $173.19. The stock has a market capitalization of $31.83 billion, a P/E ratio of 19.65, a P/E/G ratio of 1.24 and a beta of 1.23.

Northern Trust (NASDAQ:NTRS - Get Free Report) last issued its earnings results on Tuesday, April 21st. The asset manager reported $2.71 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.37 by $0.34. Northern Trust had a net margin of 12.15% and a return on equity of 14.87%. The firm had revenue of $2.21 billion for the quarter, compared to analysts' expectations of $2.13 billion. During the same quarter last year, the company posted $1.90 earnings per share. Northern Trust's revenue was up 13.8% on a year-over-year basis. As a group, sell-side analysts forecast that Northern Trust will post 10.27 earnings per share for the current year.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on the stock. Wells Fargo & Company raised their target price on shares of Northern Trust from $145.00 to $150.00 and gave the stock an "equal weight" rating in a report on Friday, January 23rd. Citigroup assumed coverage on shares of Northern Trust in a report on Monday, February 23rd. They issued a "neutral" rating on the stock. The Goldman Sachs Group raised shares of Northern Trust from a "sell" rating to a "neutral" rating and raised their target price for the stock from $148.00 to $151.00 in a report on Monday, April 6th. Barclays raised their target price on shares of Northern Trust from $136.00 to $160.00 and gave the stock an "equal weight" rating in a report on Monday, January 5th. Finally, Royal Bank Of Canada raised their target price on shares of Northern Trust from $139.00 to $159.00 and gave the stock an "outperform" rating in a report on Friday, January 23rd. Four equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $156.45.

Northern Trust Company Profile

Northern Trust Corporation NASDAQ: NTRS is a global financial services firm headquartered in Chicago that provides asset servicing, asset management and wealth management solutions to institutions, corporations and high-net-worth individuals. The company's core businesses include custody and fund administration, investment operations outsourcing, trust and fiduciary services, private banking, and retirement and defined contribution plan services.

Northern Trust's product and service offerings span custody and fund accounting, portfolio and performance analytics, securities lending, cash management and foreign exchange, as well as discretionary and non-discretionary investment management.

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