Demystifying Northern Trust: Insights From 6 Analyst Reviews

In the preceding three months, 6 analysts have released ratings for Northern Trust NTRS, presenting a wide array of perspectives from bullish to bearish.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $80.33, a high estimate of $98.00, and a low estimate of $71.00. This current average has decreased by 3.8% from the previous average price target of $83.50.

Deciphering Analyst Ratings: An In-Depth Analysis

An in-depth analysis of recent analyst actions unveils how financial experts perceive Northern Trust. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Northern Trust. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Northern Trust compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Northern Trust's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Northern Trust analyst ratings.

Unveiling the Story Behind Northern Trust

Northern Trust is a leading provider of wealth management, asset servicing, asset management, and banking to corporations, institutions, affluent families, and individuals. Founded in Chicago in 1889, Northern Trust has offices in 20 states and Washington, D.C. as well as 23 locations in Canada, Europe, the Middle East, and Asia-Pacific. As of Dec. 31, 2022, Northern Trust had assets under custody or administration of $13.6 trillion and assets under management of $1.2 trillion.

Northern Trust: Financial Performance Dissected

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Challenges: Northern Trust's revenue growth over 3 months faced difficulties. As of 30 September, 2023, the company experienced a decline of approximately -1.61%. This indicates a decrease in top-line earnings. When compared to others in the Financials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Northern Trust's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 18.05%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Northern Trust's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 2.87%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Northern Trust's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.21%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Northern Trust's debt-to-equity ratio is below the industry average at 1.24, reflecting a lower dependency on debt financing and a more conservative financial approach.

Analyst Ratings: Simplified

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.