Zacks Research Issues Optimistic Outlook for BK Earnings

Key Points

• Zacks Research has raised its Q2 2027 EPS estimate for Bank of New York Mellon (BK) to $2.07, up from a previous forecast of $2.06.
• The bank recently reported quarterly earnings of $1.94 per share, surpassing analyst expectations by $0.21 and demonstrating a 9.4% revenue increase year-over-year.
• Bank of New York Mellon has increased its quarterly dividend to $0.53 per share, reflecting a positive change from the previous $0.47 dividend, indicating a healthy payout ratio of 32.37%.

The Bank of New York Mellon Corporation (NYSE:BK - Free Report) - Equities researchers at Zacks Research lifted their Q2 2027 EPS estimates for Bank of New York Mellon in a note issued to investors on Tuesday, August 12th. Zacks Research analyst R. Department now expects that the bank will post earnings per share of $2.07 for the quarter, up from their previous forecast of $2.06. The consensus estimate for Bank of New York Mellon's current full-year earnings is $6.96 per share.

Bank of New York Mellon (NYSE:BK - Get Free Report) last posted its quarterly earnings data on Tuesday, July 15th. The bank reported $1.94 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.73 by $0.21. The business 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% compared to the same quarter last year. During the same period last year, the firm posted $1.51 earnings per share.

BK has been the topic of a number of other reports. Wells Fargo & Company boosted their price target on shares of 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. Truist Financial boosted their price target on shares of Bank of New York Mellon from $100.00 to $109.00 and gave the stock a "hold" rating in a research report on Thursday. Evercore ISI boosted their price target on shares of 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. Keefe, Bruyette & Woods boosted their price target on shares of 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. Finally, Morgan Stanley lifted their target price on shares of Bank of New York Mellon from $95.00 to $101.00 and gave the stock an "overweight" rating in a research note on Wednesday, July 16th. Seven investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $95.08.

Bank of New York Mellon Price Performance

BK traded up $1.10 on Thursday, reaching $103.01. 620,401 shares of the company's stock were exchanged, compared to its average volume of 4,228,892. The stock has a market cap of $72.64 billion, a PE ratio of 15.76, a P/E/G ratio of 1.00 and a beta of 1.12. Bank of New York Mellon has a twelve month low of $64.50 and a twelve month high of $104.47. The stock's fifty day moving average price is $95.25 and its 200-day moving average price is $87.86. The company has a debt-to-equity ratio of 0.86, a current ratio of 0.72 and a quick ratio of 0.72.

Institutional Investors Weigh In On Bank of New York Mellon

A number of hedge funds and other institutional investors have recently modified their holdings of BK. Tiemann Investment Advisors LLC raised its holdings in Bank of New York Mellon by 2.9% in the 2nd quarter. Tiemann Investment Advisors LLC now owns 3,492 shares of the bank's stock valued at $318,000 after acquiring an additional 100 shares in the last quarter. Cary Street Partners Investment Advisory LLC raised its holdings in Bank of New York Mellon by 13.7% in the 2nd quarter. Cary Street Partners Investment Advisory LLC now owns 828 shares of the bank's stock valued at $75,000 after acquiring an additional 100 shares in the last quarter. Hemington Wealth Management raised its holdings in Bank of New York Mellon by 6.3% in the 2nd quarter. Hemington Wealth Management now owns 1,730 shares of the bank's stock valued at $157,000 after acquiring an additional 102 shares in the last quarter. Certuity LLC raised its holdings in Bank of New York Mellon by 1.0% in the 2nd quarter. Certuity LLC now owns 11,081 shares of the bank's stock valued at $1,010,000 after acquiring an additional 105 shares in the last quarter. Finally, Vestmark Advisory Solutions Inc. raised its holdings in shares of Bank of New York Mellon by 4.0% during the 2nd quarter. Vestmark Advisory Solutions Inc. now owns 2,771 shares of the bank's stock worth $252,000 after buying an additional 107 shares in the last quarter. 85.31% of the stock is currently owned by institutional investors.

Insider Transactions at Bank of New York Mellon

In other news, EVP J Kevin Mccarthy sold 20,000 shares of the firm's stock in a transaction that occurred on Tuesday, July 22nd. The shares were sold at an average price of $98.45, for a total transaction of $1,969,000.00. Following the completion of the sale, the executive vice president owned 35,115 shares of the company's stock, valued at approximately $3,457,071.75. This trade represents a 36.29% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.14% of the stock is owned by company insiders.

Bank of New York Mellon Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, August 7th. Investors of record on Friday, July 25th were paid a dividend of $0.53 per share. This is a positive change from Bank of New York Mellon's previous quarterly dividend of $0.47. The ex-dividend date of this dividend 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 presently 32.37%.

About Bank of New York Mellon

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.

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