State Street (NYSE:STT) Raised to Buy at Citigroup

Key Points

• State Street's stock has been upgraded by Citigroup from a "neutral" to a "buy" rating, with a target price of $130.00, suggesting a potential upside of 13.95%.
• Multiple brokerages have recently increased their target prices for State Street, with eight analysts rating it as a "Buy" and a consensus target price of $114.18.
• State Street reported a quarterly earnings per share (EPS) of $2.53, beating consensus estimates by $0.17, with revenue growth of 2.9% year-over-year.

State Street (NYSE:STT - Get Free Report) was upgraded by equities research analysts at Citigroup from a "neutral" rating to a "buy" rating in a report released on Friday,Finviz reports. The firm presently has a $130.00 target price on the asset manager's stock. Citigroup's price target points to a potential upside of 13.95% from the stock's current price.

A number of other brokerages have also weighed in on STT. The Goldman Sachs Group increased their target price on shares of State Street from $98.00 to $111.00 and gave the stock a "buy" rating in a research report on Wednesday, July 2nd. Truist Financial lifted their target price on shares of State Street from $116.00 to $125.00 and gave the stock a "buy" rating in a research note on Thursday, August 14th. Wells Fargo & Company lifted their price target on shares of State Street from $113.00 to $121.00 and gave the company an "overweight" rating in a report on Tuesday, July 8th. Morgan Stanley boosted their target price on shares of State Street from $110.00 to $114.00 and gave the company an "overweight" rating in a report on Tuesday, July 1st. Finally, Bank of America boosted their target price on State Street from $106.00 to $109.00 and gave the stock an "underperform" rating in a research report on Wednesday, July 16th. Eight investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, State Street presently has a consensus rating of "Moderate Buy" and an average target price of $114.18.

State Street Stock Performance

NYSE:STT opened at $114.09 on Friday. The firm has a market capitalization of $32.37 billion, a P/E ratio of 12.78, a P/E/G ratio of 1.11 and a beta of 1.50. The company has a fifty day moving average of $110.88 and a 200-day moving average of $98.44. The company has a quick ratio of 0.57, a current ratio of 0.57 and a debt-to-equity ratio of 1.09. State Street has a twelve month low of $72.81 and a twelve month high of $116.37.

State Street (NYSE:STT - Get Free Report) last announced its quarterly earnings results on Tuesday, July 15th. The asset manager reported $2.53 EPS for the quarter, beating analysts' consensus estimates of $2.36 by $0.17. State Street had a net margin of 12.59% and a return on equity of 12.96%. The business had revenue of $3.47 billion during the quarter, compared to analyst estimates of $3.33 billion. During the same quarter in the previous year, the business posted $2.15 EPS. State Street's quarterly revenue was up 2.9% on a year-over-year basis. As a group, sell-side analysts anticipate that State Street will post 9.68 EPS for the current year.

Insiders Place Their Bets

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

Institutional Trading of State Street

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Osaic Holdings Inc. raised its holdings in State Street by 42.8% during the 2nd quarter. Osaic Holdings Inc. now owns 32,130 shares of the asset manager's stock valued at $3,414,000 after buying an additional 9,625 shares during the period. Orion Porfolio Solutions LLC raised its holdings in State Street by 10.4% during the 2nd quarter. Orion Porfolio Solutions LLC now owns 12,147 shares of the asset manager's stock valued at $1,292,000 after buying an additional 1,141 shares during the period. Advisory Services Network LLC raised its holdings in State Street by 22.2% during the 2nd quarter. Advisory Services Network LLC now owns 12,466 shares of the asset manager's stock valued at $1,393,000 after buying an additional 2,266 shares during the period. Geneos Wealth Management Inc. increased its stake in State Street by 20.7% in the second quarter. Geneos Wealth Management Inc. now owns 1,490 shares of the asset manager's stock worth $158,000 after purchasing an additional 256 shares during the period. Finally, Kestra Investment Management LLC increased its stake in State Street by 54.1% in the second quarter. Kestra Investment Management LLC now owns 7,269 shares of the asset manager's stock worth $773,000 after purchasing an additional 2,553 shares during the period. Hedge funds and other 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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