In a report released today, Betsy Graseck from Morgan Stanley maintained a Buy rating on State Street, with a price target of $165.00.
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Betsy Graseck’s rating is based on several positive indicators for State Street’s future performance. The company has demonstrated strong fee revenue growth, which has consistently surpassed expectations, contributing to a positive earnings per share (EPS) outlook. Despite a slight decrease in net interest income (NII), the company’s operating leverage has shown year-over-year improvement, indicating efficient cost management.
Additionally, State Street’s strategic initiatives, such as the launch of a Digital Asset platform and a partnership with Apex for a global digital wealth custody solution, are expected to drive future growth. The company is also optimistic about stabilizing deposits and productivity savings, which are anticipated to enhance margins. These factors, combined with a stable credit environment and underappreciated fee tailwinds, support the Buy rating assigned by Betsy Graseck.
In another report released today, KBW also maintained a Buy rating on the stock with a $135.00 price target.
Based on the recent corporate insider activity of 85 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of STT in relation to earlier this year.