State Street Corporation (NYSE:STT) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• State Street Corporation has received an average rating of "Moderate Buy" from twelve analysts, with seven recommending a buy and one a sell.
• The company reported $2.53 earnings per share for the recent quarter, exceeding the consensus estimate of $2.36 and showing an increase in revenue compared to the same quarter last year.
• State Street recently declared an increased quarterly dividend of $0.84 per share, enhancing its dividend yield to 3.1% from the previous $0.76.

Shares of State Street Corporation (NYSE:STT - Get Free Report) have earned an average rating of "Moderate Buy" from the twelve ratings firms that are presently covering the stock, Marketbeat reports. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and seven have issued a buy rating on the company. The average 1 year price objective among analysts that have issued ratings on the stock in the last year is $112.00.

Several research analysts have issued reports on STT shares. Keefe, Bruyette & Woods dropped their price objective on State Street from $118.00 to $113.00 and set an "outperform" rating for the company in a research note on Monday, April 21st. Cfra Research upgraded shares of State Street from a "hold" rating to a "moderate buy" rating in a research report on Tuesday, July 15th. Evercore ISI lifted their price target on shares of State Street from $102.00 to $115.00 and gave the company an "outperform" rating in a report on Wednesday, July 2nd. Truist Financial decreased their price objective on shares of State Street from $122.00 to $116.00 and set a "buy" rating on the stock in a research note on Wednesday, July 16th. Finally, The Goldman Sachs Group boosted their target price on State Street from $98.00 to $111.00 and gave the stock a "buy" rating in a report on Wednesday, July 2nd.

State Street Stock Performance

NYSE STT opened at $109.87 on Friday. The company's fifty day moving average is $105.17 and its two-hundred day moving average is $96.54. The firm has a market capitalization of $31.17 billion, a price-to-earnings ratio of 12.30, a P/E/G ratio of 1.22 and a beta of 1.48. The company has a debt-to-equity ratio of 1.09, a current ratio of 0.57 and a quick ratio of 0.57. State Street has a 52-week low of $72.81 and a 52-week high of $114.28.

State Street (NYSE:STT - Get Free Report) last announced its quarterly earnings data on Tuesday, July 15th. The asset manager reported $2.53 earnings per share for the quarter, topping the consensus estimate of $2.36 by $0.17. The company had revenue of $3.47 billion for the quarter, compared to analyst estimates of $3.33 billion. State Street had a return on equity of 12.96% and a net margin of 12.59%. State Street's revenue for the quarter was up 2.9% compared to the same quarter last year. During the same quarter last year, the firm earned $2.15 EPS. Equities research analysts forecast that State Street will post 9.68 EPS for the current year.

State Street Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, October 14th. Shareholders of record on Wednesday, October 1st will be given a dividend of $0.84 per share. This is a positive change from State Street's previous quarterly dividend of $0.76. The ex-dividend date of this dividend is Wednesday, October 1st. This represents a $3.36 annualized dividend and a dividend yield of 3.1%. State Street's payout ratio is presently 34.04%.

Insiders Place Their Bets

In related news, EVP Michael L. Richards sold 990 shares of State Street stock in a transaction dated Tuesday, July 22nd. The stock was sold at an average price of $109.29, for a total transaction of $108,197.10. Following the completion of the transaction, the executive vice president owned 41,332 shares in the company, valued at approximately $4,517,174.28. This trade represents a 2.34% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.29% of the company's stock.

Institutional Investors Weigh In On State Street

A number of institutional investors have recently made changes to their positions in the company. Invesco Ltd. boosted its stake in shares of State Street by 9.0% in the first quarter. Invesco Ltd. now owns 8,184,690 shares of the asset manager's stock valued at $732,775,000 after buying an additional 674,120 shares during the period. Northern Trust Corp lifted its position in shares of State Street by 2.8% during the 1st quarter. Northern Trust Corp now owns 4,264,161 shares of the asset manager's stock valued at $381,770,000 after acquiring an additional 115,751 shares during the period. Dimensional Fund Advisors LP grew its holdings in shares of State Street by 0.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 3,068,867 shares of the asset manager's stock worth $274,732,000 after purchasing an additional 14,011 shares in the last quarter. Eastern Bank grew its holdings in shares of State Street by 6,967.4% during the 1st quarter. Eastern Bank now owns 2,989,452 shares of the asset manager's stock worth $267,646,000 after purchasing an additional 2,947,153 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in shares of State Street by 1.9% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 2,713,415 shares of the asset manager's stock worth $242,932,000 after purchasing an additional 49,353 shares during the period. Institutional investors own 87.44% of the company's stock.

State Street Company Profile

State Street Corporation, through its subsidiaries, provides a range of financial products and services to institutional investors worldwide. The company offers investment servicing products and services, including custody, accounting, regulatory reporting, investor, and performance and analytics; middle office products, such as IBOR, transaction management, loans, cash, derivatives and collateral, record keeping, and client reporting and investment analytics; finance leasing; foreign exchange, and brokerage and other trading services; securities finance and enhanced custody products; deposit and short-term investment facilities; investment manager and alternative investment manager operations outsourcing; performance, risk, and compliance analytics; and financial data management to support institutional investors.

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