- Provision for credit losses: $8.0 million, significant turnaround from a recovery of $15.5 million last year.
- Earnings per Share (EPS): $4.34, a strong increase from $1.56 last year, and surpassing the estimate of $2.94.
- Non-interest expenses: $1.53 billion, up 15% from last year, and higher than the estimated $1.35 billion.
- Return on average common equity: 31.2%, more than doubling from 12.4% last year.
- Return on average assets: 2.44%, a substantial increase from 0.91% last year.
- Assets under custody/administration: $16.57 trillion, a 14% increase from last year.
- Assets under custody: $13.04 trillion, up 16% from last year, exceeding the estimate of $12.97 trillion.
- Assets under management: $1.53 trillion, a 12% increase year-over-year, slightly below the estimate of $1.55 trillion.
- Trust, investment & other servicing fees: $1.17 billion, a 6.4% increase year-over-year, meeting the estimate.
- Effective tax rate: 23.6%, down from 24.7% last year, and below the estimated 24.5%.
- FTE revenue: $2.72 billion, a significant 54% increase from last year, surpassing the estimate of $1.84 billion.
- Net interest margin FTE: 1.57%, a slight decrease from 1.61% last quarter, and below the estimate of 1.59%.
- Net interest income FTE: $529.8 million, a slight 1% decrease from last quarter, but above the estimate of $520 million.
- Stock performance: Shares fell by 4.2% to $86.99 on a volume of 611,326 shares traded.
- Analyst ratings: 3 buys, 11 holds, and 3 sells.
A look at Northern Trust Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 5 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 4.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
According to Smartkarma’s Smart Scores, Northern Trust Corporation seems to have a positive long-term outlook. With high scores in Value, Dividend, and Momentum, the company appears to be in a strong position. Its focus on providing investment management and banking solutions for corporations and individuals bodes well for its overall growth potential. Additionally, Northern Trust‘s resilience score suggests that the company may be well-equipped to weather any market fluctuations effectively.
As a financial holding company, Northern Trust Corporation is known for its expertise in investment management, asset administration, and banking services. Its solid scores in various factors indicate a promising outlook for the company’s future performance. With a strong emphasis on value, dividend payments, and maintaining momentum, Northern Trust seems positioned for continued success in the financial services sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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