Beyond The Numbers: 10 Analysts Discuss Northern Trust Stock

Ratings for Northern Trust NTRS were provided by 10 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $116.3, along with a high estimate of $136.00 and a low estimate of $102.00. This upward trend is evident, with the current average reflecting a 2.41% increase from the previous average price target of $113.56.

Interpreting Analyst Ratings: A Closer Look

The standing of Northern Trust among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Northern Trust. This information provides 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 navigate through adjustments in price targets, providing estimates for Northern Trust's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

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.

Delving into Northern Trust's Background

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 September 2024, Northern Trust had assets under custody or administration of $17.4 trillion and assets under management of $1.6 trillion.

Northern Trust: Financial Performance Dissected

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Northern Trust's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2024, the company achieved a revenue growth rate of approximately 26.81%. This indicates a substantial increase in the company's top-line earnings. When compared to others in the Financials sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Northern Trust's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 22.81%, 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 3.76%, 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 0.29%, 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 1.12, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Significance of Analyst Ratings Explained

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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