Zacks Research Predicts Stronger Earnings for State Street

State Street Co. (NYSE:STT) – Equities research analysts at Zacks Research raised their FY2024 earnings per share (EPS) estimates for shares of State Street in a research note issued on Tuesday, December 17th. Zacks Research analyst R. Department now expects that the asset manager will post earnings of $8.33 per share for the year, up from their prior estimate of $8.32. The consensus estimate for State Street’s current full-year earnings is $8.42 per share. Zacks Research also issued estimates for State Street’s Q4 2024 earnings at $2.23 EPS, Q4 2025 earnings at $2.50 EPS, FY2025 earnings at $9.15 EPS and Q1 2026 earnings at $1.98 EPS.

State Street (NYSE:STT) last announced its quarterly earnings results on Tuesday, October 15th. The asset manager reported $2.26 earnings per share for the quarter, beating the consensus estimate of $2.12 by $0.14. State Street had a return on equity of 12.02% and a net margin of 9.87%. The firm had revenue of $3.26 billion for the quarter, compared to analysts’ expectations of $3.19 billion. During the same period in the prior year, the business posted $1.93 earnings per share. The company’s revenue was up 21.1% on a year-over-year basis.

A number of other equities research analysts also recently issued reports on the company. Morgan Stanley upgraded State Street from an “equal weight” rating to an “overweight” rating and increased their price objective for the stock from $102.00 to $139.00 in a research report on Monday, December 9th. The Goldman Sachs Group upped their target price on State Street from $98.00 to $100.00 and gave the stock a “buy” rating in a research note on Thursday, September 26th. Deutsche Bank Aktiengesellschaft lifted their price target on State Street from $90.00 to $95.00 and gave the company a “hold” rating in a research report on Monday, November 11th. Keefe, Bruyette & Woods upgraded shares of State Street from a “market perform” rating to an “outperform” rating and upped their price objective for the stock from $105.00 to $120.00 in a research report on Tuesday, December 3rd. Finally, Evercore ISI raised their target price on shares of State Street from $89.00 to $94.00 and gave the company an “outperform” rating in a research note on Wednesday, October 16th. Two analysts have rated the stock with a sell rating, five have issued a hold rating and eight have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $98.36.

State Street Stock Performance

State Street stock opened at $98.20 on Thursday. The firm’s 50 day simple moving average is $95.56 and its 200 day simple moving average is $86.05. The company has a current ratio of 0.56, a quick ratio of 0.56 and a debt-to-equity ratio of 0.91. State Street has a 1-year low of $70.20 and a 1-year high of $101.91. The firm has a market capitalization of $28.79 billion, a PE ratio of 15.51, a price-to-earnings-growth ratio of 1.24 and a beta of 1.44.

Hedge Funds Weigh In On State Street

Several hedge funds have recently made changes to their positions in STT. Ashton Thomas Private Wealth LLC purchased a new stake in State Street in the second quarter worth $27,000. Coastline Trust Co bought a new position in State Street in the 3rd quarter worth $44,000. Capital Performance Advisors LLP purchased a new stake in shares of State Street in the 3rd quarter worth about $54,000. Family Firm Inc. purchased a new stake in shares of State Street in the 2nd quarter worth about $61,000. Finally, LRI Investments LLC boosted its stake in shares of State Street by 202.7% during the 2nd quarter. LRI Investments LLC now owns 993 shares of the asset manager’s stock valued at $73,000 after purchasing an additional 665 shares in the last quarter. 87.44% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling at State Street

In other news, EVP Kathryn M. Horgan sold 12,500 shares of the company’s stock in a transaction dated Monday, November 25th. The shares were sold at an average price of $97.97, for a total transaction of $1,224,625.00. Following the completion of the transaction, the executive vice president now directly owns 111,042 shares of the company’s stock, valued at approximately $10,878,784.74. This represents a 10.12 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, EVP John Plansky sold 13,859 shares of the stock in a transaction dated Friday, October 18th. The stock was sold at an average price of $91.32, for a total transaction of $1,265,603.88. Following the sale, the executive vice president now owns 55,108 shares of the company’s stock, valued at approximately $5,032,462.56. This represents a 20.10 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 26,460 shares of company stock worth $2,499,860. 0.31% of the stock is currently owned by insiders.

State Street Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, January 13th. Investors of record on Thursday, January 2nd will be given a dividend of $0.76 per share. The ex-dividend date is Thursday, January 2nd. This represents a $3.04 annualized dividend and a yield of 3.10%. State Street’s payout ratio is 48.03%.

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.