Northern Trust Corp.
NTRS
Market Cap$19.57B
Close$
Earnings Call Q4 2024
January 23, 2025 - AI Summary
Strong Earnings Growth: Northern Trust reported a fourth quarter net income of $455 million and earnings per share of $2.26, representing a year-over-year increase of over 50%. For the full year, earnings per share grew by 24% and total revenue increased by 8% excluding notable items, driven by strong trust fees (up 12%) and net interest income (up 15%).
NII Guidance and Market Sensitivity: The bank expects net interest income (NII) for Q1 2025 to be around $555 million to $575 million, reflecting a stable deposit mix and pricing adjustments. The outlook for full-year NII growth is low-single digits, suggesting resilience but sensitivity to market conditions and rate changes.
Expense Control Commitment: Northern Trust aims to keep expense growth at or below 5% for 2025, despite some uncertainty in earlier commentary. Continued focus on driving positive operating leverage is evident, with a 113% expense-to-trust fee ratio, improving from 115% for the full year.
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$196.22
83.1% upside
Current Fair Value
83.1% upsideUndervalued by 83.1% based on the discounted cash flow analysis.
Share Statistics
| Market cap | $19.57 Billion |
|---|---|
| Enterprise Value | $28.63 Billion |
| Dividend Yield | $3 (2.98240381747689%) |
| Earnings per Share | $9.8 |
| Beta | 1.2 |
| Outstanding Shares | 195,192,789 |
Return
| Return on Equity | - |
|---|---|
| Return on Assets | - |
| Return on Invested Capital | - |
Valuation & Multiples
| P/E Ratio | 8.89 |
|---|---|
| PEG | -8.89 |
| Price to Sales | 1.98 |
| Price to Book Ratio | 1.65 |
| Enterprise Value to Revenue | 2.7 |
| Enterprise Value to EBIT | 30.7 |
| Enterprise Value to Net Income | 15 |
| Total Debt to Enterprise | 0.47 |
| Debt to Equity | 1.04 |
Revenue Sources
No data
Insider Trades
ESG Score
No data
About Northern Trust Corp.
20,900 employees
CEO: Michael O'Grady Northern Trust Corporation 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 a globa...