The Bank of New York Mellon Corporation BK will release earnings results for its fourth quarter, before the opening bell on Wednesday, Jan. 15, 2025.Analysts expect the New York-based company to report quarterly earnings at $1.54 per share, up from $1.28 per share in the year-ago period. Bank of New York Mellon projects to report revenue of $4.65 billion for the recent quarter, compared to $4.31 billion a year earlier, according to data from Benzinga Pro.On Oct. 11, the finance behemoth reported third-quart ...

The Zacks Major Regional Banks will benefit from the Federal Reserve’s interest rate cuts as the deposit/funding costs come down and the industry-wide lending backdrop improves. Further, a decent economic expansion will support the industry players’ net interest income (NII) and margins.Business restructuring/expansion initiatives and digitization will offer support. Though weakening asset quality is likely to exert pressure on the financials to some extent, major banks like U.S. Bancorp (USB) , Truist Fina ...

S&P 500 Performance - The S&P 500 Index rallied 26 2% year to date in 2024 driven by optimism regarding the Federal Reserve's interest rate cut trajectory robust economic growth and a solid rebound in the capital market business [1] Banking Sector Overview - The S&P 500 Banks Industry Group Index rose 18 7% in 2024 with several banks outperforming the broader index including Goldman Sachs Bank of New York Mellon Wells Fargo JPMorgan Chase and M&T Bank [10] - The Federal Reserve cut interest rates by 100 basis points in 2024 with the latest cut on Dec 18 2024 bringing the Fed fund rates to 4 25-4 5% [12] - Global M&A deal value increased 15% in 2024 to $3 45 trillion recovering from a decade-low in 2023 [13] - Donald Trump's re-election and expected expansionary economic policies including reduced capital requirements deregulation and relaxed fiscal policies are expected to support the banking sector [15] - The Federal Reserve expects to lower interest rates twice in 2025 and two additional times in 2026 bringing the rate to 3 4% by the end of 2026 [16][17] Goldman Sachs (GS) - Goldman Sachs' net interest income (NII) reached $6 47 billion in the first nine months of 2024 reflecting a 29% increase from the same period in 2023 [3] - The Zacks Consensus Estimate for the company's earnings per share for 2024 and 2025 is pegged at $37 05 and $43 04 respectively implying increases of 62% and 16 17% [4] - Investment Banking revenues increased 24% in the first nine months of 2024 as global M&A bounced back [20] - The company's cash and cash equivalents were $155 billion as of Sept 30 2024 with total unsecured debt of $325 billion [22] - Goldman Sachs increased its common stock dividend by 9 1% to $3 per share in July 2024 and repurchased approximately $6 billion worth of its common shares in the first nine months of 2024 [22] Bank of New York Mellon (BK) - Non-U S revenues constituted 35% of total revenues in the first nine months of 2024 [5] - The company hiked its quarterly cash dividend by 12% to 47 cents per share in June 2024 and announced a share repurchase program worth $6 billion in April 2024 [6] - The Zacks Consensus Estimate for the company's earnings per share for 2024 and 2025 is pegged at $5 84 and $6 61 respectively implying year-over-year increases of 15 64% and 13 15% [27] - The company's total debt was $52 7 billion as of Sept 30 2024 significantly lower than its cash and due from banks and interest-bearing deposits of $108 5 billion [25][26] Wells Fargo (WFC) - Wells Fargo's CEO expressed confidence in the bank's progress to fix compliance problems following its years-long fake account scandal [7] - The company announced a dividend hike of 14% to 40 cents per share in July 2024 and had the authority to repurchase up to $11 3 billion of common stock as of Sept 30 2024 [8] - Wells Fargo's NII increased 10% in the first nine months of 2024 contributing to the continued expansion of overall revenues [30] - The company's liquidity coverage ratio was 127% as of Sept 30 2024 with liquid assets totaling $185 5 billion [31] - The Zacks Consensus Estimate for the company's earnings per share for 2024 and 2025 is pegged at $5 28 and $5 49 respectively [32] JPMorgan Chase (JPM) - JPMorgan's Investment Banking fees increased 33% in the first nine months of 2024 driven by a strong capital market performance [33] - The company's NII rose 3% in the first nine months of 2024 from the same period in 2023 [36] - JPMorgan announced plans to open more than 500 branches by 2027 and renovate 1 700 existing locations by 2027-end [37] - The company's total debt was $850 1 billion as of Sept 30 2024 with cash and due from banks and deposits with banks totaling $434 3 billion [38] - The Zacks Consensus Estimate for the company's earnings per share for 2024 and 2025 is pegged at $18 82 and $16 77 respectively [39] M&T Bank (MTB) - M&T Bank's revenues saw a CAGR of 10 2% over the past five years (2018-2023) [34] - The company's total debt was $14 2 billion as of Sept 30 2024 significantly lower than the cash and due from banks and interest-bearing deposits at banks of $26 6 billion [41] - The company hiked its quarterly dividends by 4% to $1 35 per share in May 2024 and repurchased 3 8 million shares of its common stock in the first nine months of 2024 [42] - The Zacks Consensus Estimate for the company's earnings per share for 2024 and 2025 is pegged at $14 62 and $16 41 respectively [43]

Economic and Market Overview - The US economy started strong in 2024 due to optimism about potential Federal Reserve interest rate cuts, a robust labor market, rising consumer spending, and technological advancements [1] - However, optimism about rate cuts faded as inflation remained persistent, leading to uncertainty about the pace of future cuts [1] - The Fed has reduced interest rates by 100 basis points since September 2023 but hinted at fewer cuts in 2025 [1] Banking Sector Outlook - Deal-making activities are expected to surge in 2025, leading to increased revenues and expanded net interest margins (NIM) for banks [2] - Mortgage banking income is unlikely to improve in 2025 due to elevated mortgage rates [3] - Weakness in asset quality is expected to persist in credit cards, auto loans, and commercial real estate loans [3] - Despite challenges, 2025 is anticipated to be a favorable year for banks [3] Selected Banking Stocks - The Bank of New York Mellon Corp (BK), Northern Trust Corporation (NTRS), and Stock Yards Bancorp Inc (SYBT) are well-positioned for growth in 2025 [2] - These stocks have a Zacks Rank of 1 (Strong Buy) or 2 (Buy) and have rallied more than 20% in 2024 with market caps of $2 billion or higher [4] The Bank of New York Mellon Corp (BK) - BK's net interest revenues grew at a CAGR of 3.8% over the past five years (2018-2023), with NIM improving to 1.25% in 2023 from 0.97% in 2022 [5] - BK is expanding globally through new services and acquisitions, such as the launch of Alts Bridge and the acquisition of Archer [6] - Non-US revenues accounted for 35% of total revenues as of September 30, 2023 [6] - BK's market cap is $57 billion, and its stock has risen 50.5% in 2024 [7] - Earnings are expected to grow by 15.6% in 2024 and 13.2% in 2025 [7] Northern Trust Corporation (NTRS) - NTRS's revenues grew at a CAGR of 3.5% over the three years ended 2023, driven by higher non-interest income and net interest income (NII) [8] - Loans and lease balances grew at a CAGR of 7.7% over the same period, despite a temporary decline in loans in 2024 [8] - NTRS is focusing on the Asset Servicing and Wealth Management segments to drive organic growth [8] - Earnings are expected to grow by 19.8% in 2024 and 5.6% in 2025 [9] - NTRS has a market cap of $20.7 billion and a Zacks Rank of 1, with shares rising 24% year-to-date [9] Stock Yards Bancorp Inc (SYBT) - SYBT's total revenues grew at a CAGR of 16.3% over the past five years (2018-2023), driven by higher rates and efforts to boost non-interest income [10] - NII and non-interest income grew at CAGRs of 16.7% and 15.3%, respectively, over the same period [10] - SYBT has a market cap of $2.2 billion and has risen 42% year-to-date [22] - Earnings are expected to grow by 3.8% in 2024 and 5.7% in 2025 [22] - SYBT has a Zacks Rank of 2 and has consistently paid dividends, with a dividend payout ratio of 34% [11] Industry Trends and Strategies - Banks are focusing on AI and technology to enhance client experience and expand online presence to capture the growing mobile banking population [13] - Strategic acquisitions and collaborations are being used to deepen global presence and diversify revenue streams, which will bolster fee income in 2025 [13] - The Federal Reserve's rate cuts are expected to drive consumer and commercial loan demand, stabilize funding costs, and boost NII and NIM [12] - The US presidential election has fueled optimism around banks due to anticipated tax cuts, favorable regulations, and expansionary fiscal measures [12] Capital Distributions and Share Repurchases - BK has increased dividends four times in the past five years with an annualized growth of 8.9% and announced a $6 billion share repurchase program in April 2024 [17] - SYBT extended its share repurchase program in May 2023, authorizing the repurchase of up to 1 million shares, with 0.7 million shares remaining as of September 30, 2024 [11] - SYBT announced a 25-million share repurchase program in October 2021, with 13.3 million shares remaining as of September 30, 2024 [23]

The Zacks Finance sector comprises a diversified set of players, ranging from banks, investment companies and insurance companies to real estate firms, which offer a varied set of financial services to their clients. With a few days left for 2024 to end, factors such as a favorable pricing environment, tight labor market, improved consumer spending and technology advancements have played a pivotal role in shaping the performance of the sector so far this year. Since the beginning of 2024, the spotlight rema ...

Bank of New York Mellon (NYSE: BK ) has the distinction of being the world’s largest custodian bank. The stock held a Quant rating of Buy or Strong Buy continuously from July 2023 to November 2024 – aJoseph Jones, professor at The University of Southern Mississippi, has over fifteen years of experience studying the market. He focuses on portfolio construction from a dividend growth investor's perspective. The insights expressed in his research are solely his own; they do not represent the views or financial ...

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.While many investors like to look for moment ...

Shares of The Bank of New York Mellon Corporation (BK) , popularly known as BNY Mellon, have performed remarkably well this year. Last week, the stock touched a new 52-time high of $80.29 during Wednesday’s trading session, ending just 3% below this level on Friday.BK stock has soared 48% this year. It has widely outperformed its industry, the S&P 500 Index and close peers —Northern Trust (NTRS) and State Street (STT) . Year-to-Date Price Performance Image Source: Zacks Investment ResearchLast week was an i ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Securities registered pursuant to Section 12(b) of the Act: FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended September 30, 2024 or ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Commission File Number 001-35651 THE BANK OF NEW YORK MELLON CORPORATION (Exact name of registrant as specified in its charter) Delaware ...

The Bank Of New York Mellon Corporation BK posted better-than-expected third-quarter results on Friday.The finance behemoth reported third-quarter adjusted earnings per share of $1.52 (+20% YoY), beating the street view of $1.42. Quarterly revenue of $4.648 billion, an increase of 5% year-over-year, surpassed the analyst consensus of $4.542 billion."BNY reported strong third quarter results, reflecting growth across our three business segments and consistent execution against our strategic priorities, with ...