State Street (STT) Competitors

State Street (NYSE:STT) and Bank of New York Mellon (NYSE:BK) are both large-cap finance companies, but which is the better investment? We will contrast the two companies based on the strength of their media sentiment, profitability, valuation, institutional ownership, analyst recommendations, earnings, risk and dividends.

Is STT or BK more profitable?

State Street has a net margin of 12.85% compared to Bank of New York Mellon's net margin of 11.78%. Bank of New York Mellon's return on equity of 12.96% beat State Street's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
State Street	12.85%	12.79%	0.84%
Bank of New York Mellon	11.78%	12.96%	1.14%

Which has preferable earnings & valuation, STT or BK?

Bank of New York Mellon has higher revenue and earnings than State Street. State Street is trading at a lower price-to-earnings ratio than Bank of New York Mellon, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
State Street	$22.13B	1.42	$2.69B	$8.91	12.41
Bank of New York Mellon	$39.91B	1.66	$4.53B	$6.14	15.11

Which has more volatility and risk, STT or BK?

State Street has a beta of 1.45, suggesting that its stock price is 45% more volatile than the S&P 500. Comparatively, Bank of New York Mellon has a beta of 1.07, suggesting that its stock price is 7% more volatile than the S&P 500.

Is STT or BK a better dividend stock?

State Street pays an annual dividend of $3.04 per share and has a dividend yield of 2.7%. Bank of New York Mellon pays an annual dividend of $1.88 per share and has a dividend yield of 2.0%. State Street pays out 34.1% of its earnings in the form of a dividend. Bank of New York Mellon pays out 30.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. State Street has increased its dividend for 13 consecutive years and Bank of New York Mellon has increased its dividend for 14 consecutive years.

Do analysts rate STT or BK?

State Street currently has a consensus price target of $105.69, suggesting a potential downside of 4.41%. Bank of New York Mellon has a consensus price target of $92.08, suggesting a potential downside of 0.73%. Given Bank of New York Mellon's stronger consensus rating and higher possible upside, analysts clearly believe Bank of New York Mellon is more favorable than State Street.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
State Street	1 Sell rating(s)	6 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.43
Bank of New York Mellon	0 Sell rating(s)	6 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	2.57

Does the media refer more to STT or BK?

In the previous week, State Street had 12 more articles in the media than Bank of New York Mellon. MarketBeat recorded 46 mentions for State Street and 34 mentions for Bank of New York Mellon. Bank of New York Mellon's average media sentiment score of 1.24 beat State Street's score of 0.70 indicating that Bank of New York Mellon is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
State Street	16 Very Positive mention(s)	7 Positive mention(s)	14 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
Bank of New York Mellon	24 Very Positive mention(s)	2 Positive mention(s)	7 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do institutionals and insiders hold more shares of STT or BK?

87.4% of State Street shares are owned by institutional investors. Comparatively, 85.3% of Bank of New York Mellon shares are owned by institutional investors. 0.3% of State Street shares are owned by company insiders. Comparatively, 0.1% of Bank of New York Mellon shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Bank of New York Mellon beats State Street on 12 of the 19 factors compared between the two stocks.