Northern Trust (NASDAQ:NTRS) Reaches New 52-Week High - Should You Buy?

Key Points

• Northern Trust Corporation reached a new 52-week high, trading at $135.48, with analysts having mixed reviews, including a "buy" rating from TD Cowen and an "underperform" from Keefe, Bruyette & Woods.
• The company recently announced an increase in its quarterly dividend to $0.80 per share, reflecting a positive change in shareholder returns, with a 2.4% yield.
• Northern Trust's latest earnings report showed an EPS of $2.13 for the quarter, which slightly exceeded expectations, though revenue decreased by 26.4% year-over-year.

Northern Trust Corporation (NASDAQ:NTRS - Get Free Report) hit a new 52-week high during trading on Tuesday . The stock traded as high as $135.48 and last traded at $133.45, with a volume of 39336 shares changing hands. The stock had previously closed at $133.90.

Analyst Upgrades and Downgrades

A number of research analysts have recently weighed in on NTRS shares. Keefe, Bruyette & Woods restated an "underperform" rating and set a $118.00 price target (down previously from $120.00) on shares of Northern Trust in a report on Thursday, July 24th. TD Cowen began coverage on shares of Northern Trust in a report on Thursday, September 25th. They set a "buy" rating for the company. Barclays boosted their target price on shares of Northern Trust from $128.00 to $136.00 and gave the stock an "equal weight" rating in a research report on Thursday, July 24th. The Goldman Sachs Group set a $135.00 price target on Northern Trust in a report on Tuesday. Finally, Truist Financial raised their price objective on shares of Northern Trust from $128.00 to $132.00 and gave the stock a "hold" rating in a research note on Thursday, August 14th. Three investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and an average target price of $124.50.

Northern Trust Trading Down 1.2%

The stock has a market cap of $25.30 billion, a P/E ratio of 15.56, a PEG ratio of 1.59 and a beta of 1.30. The business's 50 day simple moving average is $129.02 and its 200 day simple moving average is $113.85. The company has a debt-to-equity ratio of 0.58, a current ratio of 0.72 and a quick ratio of 0.72.

Northern Trust (NASDAQ:NTRS - Get Free Report) last posted its earnings results on Wednesday, July 23rd. The asset manager reported $2.13 EPS for the quarter, topping the consensus estimate of $2.08 by $0.05. Northern Trust had a return on equity of 14.06% and a net margin of 11.75%.The business had revenue of $2 billion during the quarter, compared to the consensus estimate of $1.96 billion. During the same quarter last year, the company earned $4.34 EPS. Northern Trust's revenue was down 26.4% on a year-over-year basis. On average, analysts expect that Northern Trust Corporation will post 8.27 earnings per share for the current fiscal year.

Northern Trust Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Friday, September 5th will be paid a dividend of $0.80 per share. This is a positive change from Northern Trust's previous quarterly dividend of $0.75. This represents a $3.20 annualized dividend and a yield of 2.4%. The ex-dividend date of this dividend is Friday, September 5th. Northern Trust's payout ratio is currently 37.60%.

Insider Activity

In other Northern Trust news, Director Robert Edward Jr. Moritz bought 256 shares of Northern Trust stock in a transaction dated Wednesday, August 13th. The shares were acquired at an average cost of $126.34 per share, with a total value of $32,343.04. Following the acquisition, the director directly owned 2,525 shares of the company's stock, valued at $319,008.50. The trade was a 11.28% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Company insiders own 0.77% of the company's stock.

Institutional Trading of Northern Trust

Large investors have recently made changes to their positions in the business. Caldwell Trust Co bought a new stake in shares of Northern Trust during the second quarter valued at approximately $48,000. Valeo Financial Advisors LLC lifted its stake in shares of Northern Trust by 12.1% during the second quarter. Valeo Financial Advisors LLC now owns 2,597 shares of the asset manager's stock valued at $329,000 after acquiring an additional 281 shares during the period. Osaic Holdings Inc. increased its position in Northern Trust by 46.0% in the second quarter. Osaic Holdings Inc. now owns 15,280 shares of the asset manager's stock worth $1,848,000 after purchasing an additional 4,815 shares during the period. Orion Porfolio Solutions LLC raised its holdings in Northern Trust by 10.8% during the 2nd quarter. Orion Porfolio Solutions LLC now owns 19,360 shares of the asset manager's stock worth $2,455,000 after purchasing an additional 1,886 shares during the last quarter. Finally, MASTERINVEST Kapitalanlage GmbH acquired a new position in Northern Trust during the 2nd quarter valued at about $760,000. Institutional investors own 83.19% of the company's stock.

Northern Trust Company Profile

Northern Trust Corporation, a financial holding company, provides wealth management, asset servicing, asset management, and banking solutions for corporations, institutions, families, and individuals worldwide. It operates in two segments, Asset Servicing and Wealth Management. The Asset Servicing segment offers asset servicing and related services, including custody, fund administration, investment operations outsourcing, investment management, investment risk and analytical services, employee benefit services, securities lending, foreign exchange, treasury management, brokerage services, transition management services, banking, and cash management services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.