Seaport Raises Q1 EPS Estimates for State Street

State Street Co. (NYSE:STT - Get Free Report) recently saw an increase in its Q1 2025 earnings per share (EPS) estimates from research analysts at Seaport Res Ptn. In a report issued to clients and investors on January 22nd, analyst J. Mitchell has raised the EPS forecast for the asset manager from an earlier estimate of $1.87 to $2.01. This adjustment indicates a positive outlook on the company's financial performance for the upcoming quarter.

Additionally, the consensus estimate for State Street's full-year earnings currently stands at $9.43 per share. Seaport Res Ptn not only revised the Q1 estimate but also updated forecasts for later quarters. They are now anticipating $2.55 in EPS for Q2 2025, $2.54 for Q3 2025, and $2.75 for Q4 2025. For the entire fiscal year of 2025, earnings are expected to reach around $9.85 per share. Looking ahead to 2026, the firm estimates an EPS of $2.25 for Q1, $2.91 for Q3, and $3.17 for Q4, leading to an FY2026 earnings expectation of $11.20 per share.

Recent Quarterly Performance

State Street announced its latest quarterly earnings on January 17th, reporting an EPS of $2.60 which surpassed the consensus estimate of $2.29 by $0.31. The company recorded a revenue of $3.41 billion for the quarter, exceeding the projected revenue of $3.27 billion. This performance reflects a significant year-over-year revenue growth of 12.1%. In the same period last year, State Street achieved an EPS of $2.04.

Analyst Ratings and Stock Performance

Market analysts have varied opinions about State Street's stock. Morgan Stanley revised its price target down from $139.00 to $132.00 but maintains an “overweight” rating. In contrast, JPMorgan Chase upgraded the stock from “underweight” to “neutral” with a price target set at $95.00. On the other hand, StockNews.com downgraded shares from “buy” to “hold.” The Goldman Sachs Group increased its target for the stock from $98.00 to $100.00, reflecting a “buy” rating. In total, two analysts recommend a sell rating, seven suggest holding, while another seven recommend buying the stock, leading to an average rating of “hold” with a price target of $100.73 according to MarketBeat.com.

Current Trading and Market Position

As of Friday, State Street shares opened at $97.58. The firm boasts a market capitalization of $28.61 billion, a price-to-earnings ratio of 11.84, and a PEG ratio of 1.11, indicating it is positioned well in the market. The company's stock is characterized by a 1-year low of $70.20 and a high of $101.91. Furthermore, the current and quick ratios sit at 0.56, and the 50-day and 200-day moving averages are $97.86 and $90.13 respectively, reflecting the stock’s recent performance.

Investor Activity and Insider Trading

Recent activity among institutional investors indicates a strong interest in State Street. Hedge funds and other institutional investors now hold approximately 87.44% of the company's stock. Notable transactions include Albion Financial Group UT purchasing a new stake valued at around $25,000, and Friedenthal Financial acquiring shares worth about $49,000.

In insider trading news, EVP Kathryn M. Horgan sold 12,500 shares at an average price of $97.97, totaling over $1.2 million. Following this sale, she retains 111,042 shares valued at approximately $10.88 million, representing a decrease in her holdings by about 10.12% as disclosed in filings with the Securities and Exchange Commission.

Dividend Payments

The company has recently announced a quarterly dividend, which was paid out on January 13th. Shareholders who were on record as of January 2, received a dividend payment of $0.76 per share, translating to an annualized dividend of $3.04 and a yield of 3.12%. The payout ratio for State Street is around 36.89%, signaling a strong financial footing for dividend distribution.

Overview of State Street Corporation

State Street Corporation, along with its subsidiaries, offers a variety of financial services and products tailored for institutional investors worldwide. The company provides investment servicing, custody, accounting, regulatory reporting, performance analytics, and foreign exchange services, among others. This comprehensive range of products positions State Street as a leader in the asset management industry.

StateStreet, Earnings, Estimates