A Look Ahead: Northern Trust's Earnings Forecast

Northern Trust NTRS is gearing up to announce its quarterly earnings on Wednesday, 2024-10-23. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Northern Trust will report an earnings per share (EPS) of $1.74.

Anticipation surrounds Northern Trust's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Overview of Past Earnings

Last quarter the company missed EPS by $0.12, which was followed by a 0.08% increase in the share price the next day.

Here's a look at Northern Trust's past performance and the resulting price change:

Tracking Northern Trust's Stock Performance

Shares of Northern Trust were trading at $95.76 as of October 21. Over the last 52-week period, shares are up 50.64%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analysts' Take on Northern Trust

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Northern Trust.

The consensus rating for Northern Trust is Neutral, based on 6 analyst ratings. With an average one-year price target of $90.33, there's a potential 5.67% downside.

Understanding Analyst Ratings Among Peers

In this comparison, we explore the analyst ratings and average 1-year price targets of T. Rowe Price Gr, Franklin Resources and SEI Inv, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• For T. Rowe Price Gr, analysts project an Neutral trajectory, with an average 1-year price target of $110.83, indicating a potential 15.74% upside.
• Franklin Resources is maintaining an Underperform status according to analysts, with an average 1-year price target of $21.25, indicating a potential 77.81% downside.
• The consensus among analysts is an Neutral trajectory for SEI Inv, with an average 1-year price target of $74.75, indicating a potential 21.94% downside.

Overview of Peer Analysis

In the peer analysis summary, key metrics for T. Rowe Price Gr, Franklin Resources and SEI Inv are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Northern Trust ranks at the top for Gross Profit and Return on Equity among its peers. It is in the middle for Revenue Growth.

All You Need to Know About 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, 2023, Northern Trust had assets under custody or administration of $15.4 trillion and assets under management of $1.4 trillion.

Northern Trust's Economic Impact: An Analysis

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Revenue Growth: Northern Trust displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 54.54%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Financials sector.

Net Margin: Northern Trust's net margin is impressive, surpassing industry averages. With a net margin of 32.56%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Northern Trust's ROE stands out, surpassing industry averages. With an impressive ROE of 7.69%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Northern Trust's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.57%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 1.16.

To track all earnings releases for Northern Trust visit their earnings calendar on our site.

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