Northern Trust Corporation (NASDAQ:NTRS) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report issued on Wednesday, July 12th. The brokerage presently has a $110.00 price objective on the asset manager’s stock. Zacks Investment Research‘s target price would suggest a potential upside of 26.22% from the stock’s current price.
According to Zacks, “Northern Trust shares outperformed the Zacks categorized Major Regional Banks industry over the past one year. The company continues to benefit from its strong wealth management operations with diversified products. Notably, its deal to acquire fund administration services in Luxembourg and Switzerland will further support its financials. Also, the company raised its prime lending rate to 4.25%, following the recent Fed interest rate hike, reflecting easing margin pressure aiding revenues. Moreover, approval of 2017 capital plan, expected lesser regulations and steady capital deployment activites are other positives. However, despite undertaking cost savings measures, mounting expenses continue to hurt the company's financials. Further, potential unfavorable changes in global market conditions remain other major headwinds.”
Other research analysts have also recently issued reports about the company. Jefferies Group LLC reaffirmed a “buy” rating and issued a $102.00 price target on shares of Northern Trust Corporation in a report on Wednesday, May 17th. Royal Bank Of Canada reaffirmed a “buy” rating and issued a $97.00 price target on shares of Northern Trust Corporation in a report on Thursday, June 29th. Buckingham Research reaffirmed a “neutral” rating and issued a $103.00 price target (up from $93.00) on shares of Northern Trust Corporation in a report on Monday, July 10th. BidaskClub raised Northern Trust Corporation from a “buy” rating to a “strong-buy” rating in a report on Wednesday, July 5th. Finally, Credit Suisse Group reissued a “hold” rating and set a $90.00 price objective on shares of Northern Trust Corporation in a report on Monday, May 15th. Two analysts have rated the stock with a sell rating, eight have assigned a hold rating, three have issued a buy rating and one has issued a strong buy rating to the company. The stock has an average rating of “Hold” and an average price target of $94.15.
Northern Trust Corporation (NASDAQ NTRS) opened at 87.15 on Wednesday. Northern Trust Corporation has a 1-year low of $66.40 and a 1-year high of $99.30. The firm has a market cap of $19.91 billion, a PE ratio of 19.78 and a beta of 0.92. The firm’s 50-day moving average is $92.53 and its 200 day moving average is $89.21.
Northern Trust Corporation (NASDAQ:NTRS) last released its quarterly earnings results on Wednesday, July 19th. The asset manager reported $1.18 earnings per share (EPS) for the quarter, missing the Zacks’ consensus estimate of $1.23 by $0.05. Northern Trust Corporation had a net margin of 20.21% and a return on equity of 12.08%. The business had revenue of $1.33 billion during the quarter, compared to the consensus estimate of $1.33 billion. During the same period in the prior year, the firm earned $1.09 earnings per share. The business’s quarterly revenue was up .5% compared to the same quarter last year. On average, equities analysts forecast that Northern Trust Corporation will post $4.72 earnings per share for the current fiscal year.
Northern Trust Corporation announced that its Board of Directors has approved a share repurchase plan on Wednesday, June 28th that authorizes the company to repurchase $750.00 million in shares. This repurchase authorization authorizes the asset manager to purchase up to 3.4% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s board of directors believes its stock is undervalued.
In other news, COO Jana R. Schreuder sold 5,538 shares of the company’s stock in a transaction dated Monday, August 7th. The stock was sold at an average price of $88.33, for a total value of $489,171.54. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Teresa Parker sold 11,399 shares of the business’s stock in a transaction that occurred on Friday, July 21st. The shares were sold at an average price of $87.65, for a total value of $999,122.35. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 184,974 shares of company stock valued at $17,103,543. 1.27% of the stock is currently owned by company insiders.
Several institutional investors have recently modified their holdings of NTRS. Vanguard Group Inc. raised its position in shares of Northern Trust Corporation by 2.6% in the second quarter. Vanguard Group Inc. now owns 14,255,623 shares of the asset manager’s stock valued at $1,385,789,000 after buying an additional 363,691 shares in the last quarter. BlackRock Inc. raised its position in shares of Northern Trust Corporation by 0.3% in the second quarter. BlackRock Inc. now owns 13,318,550 shares of the asset manager’s stock valued at $1,294,697,000 after buying an additional 38,780 shares in the last quarter. Northern Trust Corp raised its position in shares of Northern Trust Corporation by 1.5% in the second quarter. Northern Trust Corp now owns 12,414,424 shares of the asset manager’s stock valued at $1,206,806,000 after buying an additional 184,112 shares in the last quarter. FMR LLC raised its position in shares of Northern Trust Corporation by 38.4% in the first quarter. FMR LLC now owns 12,370,754 shares of the asset manager’s stock valued at $1,071,060,000 after buying an additional 3,430,332 shares in the last quarter. Finally, JPMorgan Chase & Co. raised its position in shares of Northern Trust Corporation by 0.8% in the first quarter. JPMorgan Chase & Co. now owns 8,226,919 shares of the asset manager’s stock valued at $712,287,000 after buying an additional 68,263 shares in the last quarter. Institutional investors and hedge funds own 83.48% of the company’s stock.
About Northern Trust Corporation
Northern Trust Corporation is a financial holding company. The Company provides asset servicing, fund administration, asset management, fiduciary and banking solutions for corporations, institutions, families and individuals across the world. Its segments include Corporate & Institutional Services (C&IS), Wealth Management, and Treasury and Other.
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