State Street (NYSE:STT) Releases Quarterly Earnings Results, Beats Estimates By $0.01 EPS

State Street (NYSE:STT) issued its quarterly earnings results on Wednesday. The asset manager reported $3.69 earnings per share for the quarter, topping the consensus estimate of $3.68 by $0.01, FiscalAI reports. State Street had a net margin of 15.02% and a return on equity of 15.26%. The business had revenue of $4 billion for the quarter, compared to analysts’ expectations of $4.03 billion.

State Street Trading Down 0.6%

STT opened at $173.94 on Wednesday. The company has a quick ratio of 0.59, a current ratio of 0.59 and a debt-to-equity ratio of 1.04. The stock’s fifty day moving average is $185.34 and its two-hundred day moving average is $168.99. The company has a market capitalization of $47.78 billion, a P/E ratio of 15.34, a PEG ratio of 0.83 and a beta of 1.41. State Street has a 52 week low of $104.64 and a 52 week high of $195.93.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on the stock. JPMorgan Chase & Co. upped their target price on shares of State Street from $187.00 to $187.50 and gave the stock a “neutral” rating in a research report on Friday, October 2nd. Truist Financial decreased their price target on shares of State Street from $191.00 to $190.00 and set a “hold” rating on the stock in a research note on Tuesday, October 6th. BMO Capital Markets dropped their price objective on shares of State Street from $212.00 to $200.00 and set an “outperform” rating for the company in a report on Tuesday, October 6th. Morgan Stanley raised their price objective on State Street from $183.00 to $195.00 and gave the company an “overweight” rating in a research report on Friday, July 17th. Finally, Zacks Research downgraded State Street from a “strong-buy” rating to a “hold” rating in a research report on Friday, September 18th. Ten research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $193.38.

Insiders Place Their Bets

In other news, EVP W. Hu sold 9,758 shares of State Street stock in a transaction that occurred on Friday, July 24th. The shares were sold at an average price of $184.52, for a total value of $1,800,546.16. Following the transaction, the executive vice president owned 49,794 shares of the company’s stock, valued at $9,187,988.88. The trade was a 16.39% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Hanley Ronald P. O sold 14,553 shares of the stock in a transaction on Tuesday, July 21st. The shares were sold at an average price of $184.17, for a total value of $2,680,226.01. Following the sale, the chief executive officer owned 240,959 shares of the company’s stock, valued at approximately $44,377,419.03. This represents a 5.70% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.27% of the stock is currently owned by corporate insiders.

More State Street News

Here are the key news stories impacting State Street this week:

• Positive Sentiment: State Street reported diluted EPS of $3.69, narrowly exceeding analysts’ $3.68 consensus estimate. Net income reached $1.09 billion. State Street Posts $4.0 Billion Revenue and $3.69 Third-Quarter EPS
• Positive Sentiment: Revenue increased 13% year over year to $4.004 billion, supported by an 11% increase in fee revenue to $3.14 billion and a 21% rise in net interest income to $864 million.
• Positive Sentiment: Operating scale remained strong: assets under custody and/or administration rose 15% to $59.173 trillion, while assets under management grew 16% to $6.306 trillion. State Street also returned $651 million to common shareholders through buybacks and dividends.
• Neutral Sentiment: The company updated its fiscal 2026 outlook, making management’s guidance and commentary from the earnings call important near-term catalysts for the stock. State Street reports mixed Q3 results; updates FY26 outlook
• Neutral Sentiment: State Street elected Alexander Vollert, former AXA Group chief operating officer, to its board. His technology, operations and transformation experience could support the company’s strategic initiatives, but the appointment has limited immediate earnings impact. State Street Elects Alexander Vollert to Its Board of Directors
• Negative Sentiment: Quarterly revenue of $4.004 billion fell short of the $4.03 billion analyst estimate and declined 1% sequentially, despite the year-over-year improvement.
• Negative Sentiment: Total expenses climbed 8% year over year to $2.62 billion, potentially limiting the benefit of fee and net-interest-income growth. Investors will also scrutinize the updated fiscal 2026 outlook for any signs of pressure on margins or growth.

About State Street

State Street Corporation (NYSE: STT) is a financial services company that provides institutional investors, asset managers, asset owners, insurance companies, official institutions and other organizations with investment servicing, investment management and related financial services. Its offerings include custody and fund administration, accounting, transfer agency, collateral management, securities lending, foreign exchange, trading and other capital markets services.

Through State Street Investment Management, the company manages investment strategies and offers products such as exchange-traded funds, index strategies, active strategies and other portfolio solutions.