Northern Trust Corp. (NASDAQ:NTRS) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued to investors on Wednesday. The firm presently has a $78.00 target price on the stock. Zacks Investment Research’s price target would suggest a potential upside of 11.70% from the stock’s previous close.
According to Zacks, “Northern Trust has positive record of earnings surprises in recent quarters. The company’s estimates have been stable lately ahead of its third-quarter 2016 earnings release. The company’s services like Northern Trust Hedge Fund and Target2-Securities (T2S), along with its capability to initiate new business and improving credit quality, should bolster its business performance. Further, the company remains committed towards boosting investors’ confidence with impressive capital deployment activities. However, the company’s profitability is expected to be limited by several issues such as a persistently low rate environment along with volatile equity markets. Also, mounting expenses driven by heightened regulations remain a concern.”
Other research analysts have also recently issued reports about the company. Deutsche Bank AG reissued a “hold” rating on shares of Northern Trust Corp. in a research report on Sunday, July 10th. Barclays PLC reissued a “hold” rating on shares of Northern Trust Corp. in a research report on Saturday, July 9th. Jefferies Group reissued a “hold” rating and issued a $71.00 target price (up from $68.00) on shares of Northern Trust Corp. in a research report on Sunday, July 24th. Citigroup Inc. raised Northern Trust Corp. from a “sell” rating to a “neutral” rating and set a $66.00 target price on the stock in a research report on Tuesday, June 28th. Finally, Goldman Sachs Group Inc. cut Northern Trust Corp. from a “buy” rating to a “neutral” rating and dropped their target price for the stock from $82.00 to $71.00 in a research report on Thursday, July 7th. One equities research analyst has rated the stock with a sell rating, ten have assigned a hold rating, one has issued a buy rating and one has issued a strong buy rating to the company’s stock. The company currently has an average rating of “Hold” and a consensus target price of $71.81.
Shares of Northern Trust Corp. (NASDAQ:NTRS) traded up 2.59% during midday trading on Wednesday, hitting $71.64. The stock had a trading volume of 764,264 shares. The firm has a market cap of $16.23 billion, a price-to-earnings ratio of 17.70 and a beta of 1.13. Northern Trust Corp. has a 12 month low of $54.38 and a 12 month high of $76.11. The stock’s 50 day moving average price is $68.94 and its 200 day moving average price is $68.59.
Northern Trust Corp. (NASDAQ:NTRS) last announced its earnings results on Wednesday, July 20th. The company reported $1.09 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.06 by $0.03. The business had revenue of $1.32 billion for the quarter, compared to analysts’ expectations of $1.22 billion. Northern Trust Corp. had a return on equity of 11.38% and a net margin of 19.38%. The business’s revenue for the quarter was up 4.8% on a year-over-year basis. During the same period last year, the firm posted $1.01 earnings per share. On average, equities analysts forecast that Northern Trust Corp. will post $4.23 EPS for the current fiscal year.
The company also recently disclosed a quarterly dividend, which was paid on Saturday, October 1st. Shareholders of record on Friday, September 2nd were paid a $0.38 dividend. This is an increase from Northern Trust Corp.’s previous quarterly dividend of $0.36. The ex-dividend date of this dividend was Wednesday, August 31st. This represents a $1.52 dividend on an annualized basis and a yield of 2.18%. Northern Trust Corp.’s payout ratio is presently 37.53%.
In other Northern Trust Corp. news, Chairman Frederick H. Waddell sold 160,367 shares of Northern Trust Corp. stock in a transaction that occurred on Thursday, September 8th. The stock was sold at an average price of $69.81, for a total value of $11,195,220.27. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, President William L. Morrison sold 170,563 shares of Northern Trust Corp. stock in a transaction that occurred on Friday, August 5th. The stock was sold at an average price of $67.36, for a total value of $11,489,123.68. The disclosure for this sale can be found here. 1.90% of the stock is owned by company insiders.
A number of hedge funds have recently added to or reduced their stakes in NTRS. West Oak Capital LLC increased its stake in Northern Trust Corp. by 0.9% in the third quarter. West Oak Capital LLC now owns 17,475 shares of the company’s stock worth $1,188,000 after buying an additional 160 shares during the last quarter. Macquarie Group Ltd. increased its stake in Northern Trust Corp. by 134.5% in the second quarter. Macquarie Group Ltd. now owns 6,800 shares of the company’s stock worth $451,000 after buying an additional 3,900 shares during the last quarter. Kentucky Retirement Systems Insurance Trust Fund purchased a new stake in Northern Trust Corp. during the second quarter worth about $574,000. Kentucky Retirement Systems purchased a new stake in Northern Trust Corp. during the second quarter worth about $1,208,000. Finally, Mason Street Advisors LLC purchased a new stake in Northern Trust Corp. during the second quarter worth about $1,914,000. 81.71% of the stock is currently owned by institutional investors and hedge funds.
Northern Trust Corp. Company Profile
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 around the world. The Company’s segments include Corporate & Institutional Services (C&IS), Wealth Management, and Treasury and Other.
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