State Street (NYSE:STT) Reaches New 52-Week High After Dividend Announcement

State Street Corporation (NYSE:STT)’s share price hit a new 52-week high on Tuesday after the company announced a dividend. The company traded as high as $183.68 and last traded at $183.6970, with a volume of 237373 shares trading hands. The stock had previously closed at $178.17.

The newly announced dividend which will be paid on Tuesday, October 13th. Stockholders of record on Thursday, October 1st will be given a dividend of $0.92 per share. This is an increase from State Street’s previous quarterly dividend of $0.84. The ex-dividend date is Thursday, October 1st. This represents a $3.68 annualized dividend and a dividend yield of 2.0%. State Street’s dividend payout ratio is 34.08%.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the stock. Bank of America lifted their price objective on shares of State Street from $160.00 to $190.00 and gave the stock a “neutral” rating in a report on Tuesday, July 7th. Barclays set a $165.00 target price on State Street in a research note on Monday, April 20th. UBS Group set a $176.00 price target on State Street in a research report on Friday, June 26th. The Goldman Sachs Group lifted their price target on State Street from $168.00 to $194.00 and gave the stock a “buy” rating in a research note on Tuesday, June 30th. Finally, Morgan Stanley increased their price objective on State Street from $166.00 to $183.00 and gave the company an “overweight” rating in a research report on Monday, June 29th. One equities research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and five have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $173.91.

State Street Stock Performance

The company has a current ratio of 0.57, a quick ratio of 0.57 and a debt-to-equity ratio of 1.04. The company’s fifty day moving average is $164.44 and its 200 day moving average is $143.46. The company has a market cap of $51.72 billion, a P/E ratio of 18.95, a price-to-earnings-growth ratio of 0.95 and a beta of 1.42.

State Street (NYSE:STT) last posted its quarterly earnings results on Friday, April 17th. The asset manager reported $2.84 earnings per share for the quarter, topping the consensus estimate of $2.64 by $0.20. State Street had a net margin of 13.47% and a return on equity of 14.22%. The business had revenue of $3.80 billion during the quarter, compared to the consensus estimate of $3.59 billion. During the same period in the previous year, the firm posted $2.04 earnings per share. The firm’s revenue for the quarter was up 15.6% on a year-over-year basis. As a group, equities analysts predict that State Street Corporation will post 12.75 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CEO Hanley Ronald P. O sold 14,553 shares of the firm’s stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $155.35, for a total transaction of $2,260,808.55. Following the transaction, the chief executive officer directly owned 255,512 shares in the company, valued at $39,693,789.20. This trade represents a 5.39% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Michael L. Richards sold 1,500 shares of State Street stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $162.14, for a total value of $243,210.00. Following the completion of the transaction, the executive vice president directly owned 41,827 shares in the company, valued at $6,781,829.78. This trade represents a 3.46% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 37,876 shares of company stock worth $5,866,583. Insiders own 0.27% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in STT. Tema ETFs LLC increased its stake in shares of State Street by 7.5% in the second quarter. Tema ETFs LLC now owns 4,157 shares of the asset manager’s stock worth $705,000 after buying an additional 290 shares during the period. E. Ohman J or Asset Management AB grew its holdings in State Street by 12.9% in the 2nd quarter. E. Ohman J or Asset Management AB now owns 10,079 shares of the asset manager’s stock worth $1,709,000 after acquiring an additional 1,150 shares during the last quarter. Handelsbanken Fonder AB increased its position in shares of State Street by 24.8% in the second quarter. Handelsbanken Fonder AB now owns 111,637 shares of the asset manager’s stock valued at $18,934,000 after acquiring an additional 22,156 shares during the period. Harrell Investment Partners LLC purchased a new position in shares of State Street in the second quarter valued at about $264,000. Finally, Franklin Street Advisors Inc. NC bought a new position in shares of State Street during the second quarter valued at about $237,000. Institutional investors own 87.44% of the company’s stock.

State Street Company Profile

State Street Corporation is a global financial services company that provides a range of investment servicing, investment management and investment research and trading services to institutional investors. Its principal activities include custody and fund administration, securities lending, performance and risk analytics, trading and execution services, and foreign exchange. The company also offers investment management through State Street Global Advisors, a major provider of exchange-traded funds and institutional investment strategies.

State Street serves a broad client base of asset managers, insurance companies, pension funds, endowments, and other institutions across North America, Europe, Asia and other global markets.