Northern Trust (NASDAQ:NTRS) Reaches New 1-Year High Following Better-Than-Expected Earnings

Northern Trust Corporation (NASDAQ:NTRS)’s share price reached a new 52-week high on Tuesday following a stronger than expected earnings report. The stock traded as high as $166.48 and last traded at $165.8980, with a volume of 247155 shares changing hands. The stock had previously closed at $158.99.

The asset manager reported $2.71 EPS for the quarter, beating analysts’ consensus estimates of $2.52 by $0.19. The company had revenue of $2.21 billion for the quarter, compared to analyst estimates of $2.13 billion. Northern Trust had a net margin of 12.15% and a return on equity of 14.87%. Northern Trust’s quarterly revenue was up 13.8% on a year-over-year basis. During the same period in the previous year, the business posted $1.90 earnings per share.

Northern Trust Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, April 1st. Shareholders of record on Friday, March 6th were paid a $0.80 dividend. The ex-dividend date was Friday, March 6th. This represents a $3.20 dividend on an annualized basis and a yield of 1.9%. Northern Trust’s payout ratio is currently 36.61%.

Wall Street Analyst Weigh In

A number of research analysts have commented on NTRS shares. Wall Street Zen upgraded shares of Northern Trust from a “sell” rating to a “hold” rating in a research note on Saturday, December 27th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Northern Trust in a report on Thursday, January 22nd. Morgan Stanley lifted their target price on shares of Northern Trust from $131.00 to $140.00 and gave the company an “underweight” rating in a report on Friday, January 23rd. Royal Bank Of Canada lifted their target price on shares of Northern Trust from $139.00 to $159.00 and gave the company an “outperform” rating in a report on Friday, January 23rd. Finally, The Goldman Sachs Group raised shares of Northern Trust from a “sell” rating to a “neutral” rating and lifted their target price for the company from $148.00 to $151.00 in a report on Monday, April 6th. Four research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $154.55.

Insiders Place Their Bets

In other news, insider Clive Bellows sold 1,148 shares of Northern Trust stock in a transaction dated Thursday, February 12th. The shares were sold at an average price of $145.26, for a total value of $166,758.48. Following the sale, the insider owned 34,133 shares of the company’s stock, valued at $4,958,159.58. The trade was a 3.25% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Robert Edward Jr. Moritz bought 245 shares of the stock in a transaction dated Monday, February 2nd. The stock was purchased at an average cost of $151.85 per share, for a total transaction of $37,203.25. Following the acquisition, the director owned 6,931 shares of the company’s stock, valued at approximately $1,052,472.35. This represents a 3.66% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last quarter, insiders have sold 34,905 shares of company stock valued at $5,166,714. Corporate insiders own 0.66% of the company’s stock.

Institutional Trading of Northern Trust

Institutional investors have recently added to or reduced their stakes in the stock. Triumph Capital Management purchased a new stake in Northern Trust during the third quarter worth about $25,000. Reflection Asset Management purchased a new stake in Northern Trust during the fourth quarter worth about $25,000. Board of the Pension Protection Fund purchased a new stake in Northern Trust during the fourth quarter worth about $27,000. Elyxium Wealth LLC purchased a new stake in Northern Trust during the fourth quarter worth about $34,000. Finally, International Assets Investment Management LLC purchased a new stake in Northern Trust during the fourth quarter worth about $35,000. Hedge funds and other institutional investors own 83.19% of the company’s stock.

Northern Trust Trading Up 4.9%

The stock has a market cap of $30.90 billion, a PE ratio of 19.02, a P/E/G ratio of 1.24 and a beta of 1.23. The business’s fifty day moving average is $143.98 and its 200 day moving average is $138.93. The company has a quick ratio of 0.69, a current ratio of 0.69 and a debt-to-equity ratio of 0.57.

About Northern Trust

Northern Trust Corporation (NASDAQ: NTRS) is a global financial services firm headquartered in Chicago that provides asset servicing, asset management and wealth management solutions to institutions, corporations and high-net-worth individuals. The company’s core businesses include custody and fund administration, investment operations outsourcing, trust and fiduciary services, private banking, and retirement and defined contribution plan services.

Northern Trust’s product and service offerings span custody and fund accounting, portfolio and performance analytics, securities lending, cash management and foreign exchange, as well as discretionary and non-discretionary investment management.