Core Viewpoint - Northern Trust Corporation (NTRS) is expected to report quarterly earnings of $2.26 per share, a 15.3% increase year-over-year, with revenues projected at $2.04 billion, reflecting a 3.7% increase from the previous year [1]. Earnings Estimates - The consensus EPS estimate has been revised upward by 3.1% over the past 30 days, indicating analysts have reassessed their projections [2]. - Changes in earnings estimates are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate revisions and short-term stock performance [3]. Revenue and Key Metrics - Analysts estimate 'Wealth Management Trust, Investment and Other Servicing Fees- Global Family Office' at $109.98 million, a 9.1% increase year-over-year [5]. - 'Wealth Management Trust, Investment and Other Servicing Fees- Total' is projected to reach $569.70 million, up 7.6% from the prior year [5]. - 'Asset Servicing Trust, Investment and Other Servicing Fees- Custody and Fund Administration' is expected to be $493.16 million, reflecting an 8.8% year-over-year increase [6]. - Total 'Asset Servicing Trust, Investment and Other Servicing Fees' is forecasted at $726.04 million, also an 8.8% increase [6]. - 'Asset Servicing Trust, Investment and Other Servicing Fees- Securities Lending' is estimated at $20.96 million, a significant 19.8% increase [7]. - 'Asset Servicing Trust, Investment and Other Servicing Fees- Investment Management' is projected to be $167.27 million, a 9.6% increase from the previous year [8]. - The average balance of total earning assets is estimated at $143.48 billion, compared to $134.77 billion in the same quarter last year [9]. - 'Net Interest Income - FTE Adjusted' is expected to be $599.04 million, up from $569.40 million year-over-year [10]. - 'Total Noninterest Income' is projected at $1.45 billion, compared to $1.41 billion in the previous year [10]. Stock Performance - Over the past month, Northern Trust shares have declined by 5.8%, while the Zacks S&P 500 composite has increased by 0.7% [11].

Key Takeaways Northern Trust will release Q3 2025 results on Oct. 22, with earnings and revenues rising year over year.Higher NII and improved fee income from custody and investment management are expected to support growth.Continued high costs tied to compensation and tech investments could pressure quarterly performance. Northern Trust Corporation (NTRS) is scheduled to release its third-quarter 2025 results on Oct. 22, before market open. The company’s quarterly earnings and revenues are expected to grow ...

Core Insights - The report from FactSet emphasizes that robust reporting can provide a competitive advantage for asset managers and asset owners, moving beyond conventional reporting efforts [3][5][6] Group 1: Current State of Reporting - Asset management firms face increasing pressure to deliver high-quality, detailed, and timely data, with clients and regulators demanding comprehensive insights into investment exposure, risk management, and performance attribution [5][6] - The research indicates that only 12% of respondents believe their current reporting meets all client needs, while 36% rate their capabilities as average or poor, highlighting significant dissatisfaction [8][6] Group 2: Challenges in Reporting - Outdated legacy systems hinder progress towards robust reporting, as many firms still rely on antiquated processes designed for printed reports, making adaptation to digital demands difficult [5][8] - Primary hurdles in data integration stem from disparate data sources and ongoing issues with data quality and consistency, which organizations must address to improve reporting capabilities [9][10] Group 3: Strategies for Improvement - The report outlines five strategies for asset managers and owners to enhance their reporting capabilities: 1. Understand client needs and deliver value [11] 2. Ensure data consistency, accuracy, and management [11] 3. Leverage digital tools for personalized client experiences [11] 4. Streamline workflows and adopt automation [11] 5. Develop a clear vendor strategy for scalable technology [11]

Core Insights - The primary focus for income investors is generating consistent cash flow through dividends, which are a significant portion of long-term returns [2][4]. Company Overview - Northern Trust Corporation (NTRS), based in Chicago, has experienced a share price increase of 23.93% this year [3]. - The company currently pays a dividend of $0.80 per share, resulting in a dividend yield of 2.52%, which is lower than the Banks - Major Regional industry's yield of 3.53% and the S&P 500's yield of 1.51% [3]. Dividend Performance - Northern Trust's annualized dividend of $3.20 has increased by 6.7% from the previous year [4]. - Over the past five years, the company has raised its dividend once, with an average annual increase of 2.01% [4]. - The current payout ratio is 36%, indicating that the company pays out 36% of its trailing 12-month earnings per share as dividends [4]. Earnings Expectations - The Zacks Consensus Estimate for Northern Trust's earnings in 2025 is $8.63 per share, reflecting a 12.08% increase from the previous year [5]. - The company is expected to see earnings expansion this fiscal year [5]. Investment Considerations - Northern Trust is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6].

Core Insights - Northern Trust has been appointed by the International Finance Facility for Education (IFFEd) to provide global custody services [1] Group 1: Company Overview - Northern Trust is a financial services company listed on Nasdaq under the ticker NTRS [1] - The company will support IFFEd, which is focused on innovative financing for global education [1] Group 2: IFFEd Details - IFFEd is based in Switzerland and has been endorsed by the G20 in 2023 [1] - The organization holds a triple A credit rating and operates with a zero percent administration fee [1] - IFFEd aims to accelerate public-private partnerships in the education sector [1]

Core Viewpoint - Morgan Stanley has adjusted its model for North American large banks' Q3 2025 performance forecasts, indicating a mild impact on EPS growth of 0-1% and a median EPS estimate 3% higher than market consensus [1][2] Group 1: Earnings Forecasts - The median EPS forecast for North American banks in Q3 2025 is 3% above market consensus, with the largest increases expected for money center banks and State Street Bank (STT.US) [1] - Citigroup (C.US) is projected to have an EPS of $1.99, exceeding the market consensus of $1.83 by 9% [1] - Bank of America (BAC.US) is expected to report an EPS of $1.01, which is 7% higher than the consensus of $0.94 [1] - State Street Bank's EPS is forecasted to be 6% above consensus, while Northern Trust (NTRS.US) is expected to be 3% higher [1] - Most super-regional banks are projected to be 1-3% above consensus, with Truist Financial (TFC.US) and Wells Fargo (WFC.US) both expected to be 3% higher [1] Group 2: Key Financial Metrics - The model incorporates a macro assumption of an additional 125 basis points rate cut by the end of 2026, with a focus on Citigroup, Bank of America, Goldman Sachs, and JPMorgan Chase (JPM.US) due to expected outperformance in investment banking fees and trading income [2] - Money center banks are expected to lead in asset growth, with JPMorgan Chase's average total assets projected to reach $4.43 trillion, an 8.4% year-over-year increase, and Bank of America expected to reach $3.47 trillion, a 5.5% increase [2] - The deposit structure shows a gradual decline in non-interest-bearing deposits, with Bank of America projected to have 26.0% in 2025, down from 26.7% in 2024 [2] - The net interest margin (NIM) is expected to remain stable, with a median estimate of 2.50% for 2025, while super-regional banks are projected to have higher NIMs [2] Group 3: Revenue Growth Drivers - Fee income is a core growth driver, with M&A fees expected to grow 30% year-over-year, significantly above the consensus growth of 11% [3] - Equity Capital Markets (ECM) fees are projected to increase by 41%, compared to a consensus of 30%, while Debt Capital Markets (DCM) fees are expected to grow by 4% against a consensus of 3% [3] - Money center banks like JPMorgan and Goldman Sachs are expected to see over 9% year-over-year growth in fee income for 2025 [3] Group 4: Capital Returns - The median dividend payout ratio for banks in 2025 is expected to be around 30%, with money center banks showing a slight decrease from 27% to 29% [3] - JPMorgan is projected to pay $5.80 per share in dividends, while Citigroup is expected to pay $2.32 per share [3] - Stock buybacks are anticipated to increase significantly, with JPMorgan expected to repurchase $38.01 billion in 2025, up from $18.84 billion in 2024, and Citigroup expected to repurchase $13.47 billion, a substantial increase from $2.5 billion in 2024 [3] Group 5: Overall Outlook - The report maintains a cautiously optimistic view on North American large banks, suggesting that money center banks will outperform due to investment banking and trading income, while super-regional banks show stable asset quality [4] - Trust banks are expected to face pressure on net interest margins but still demonstrate resilience supported by fee income [4]

Core Viewpoint - Northern Trust Asset Management has appointed Slava Malkin as senior portfolio manager to enhance its long/short investment offerings, reflecting its commitment to expanding its investment capabilities in the market [1]. Company Overview - Northern Trust Asset Management is a leading global investment management firm with $1.3 trillion in assets under management as of June 30, 2025 [1]. - The firm has over three decades of experience in tax-advantaged and quantitative equity portfolios, positioning itself as a pioneer in these areas [1]. Strategic Development - The appointment of Slava Malkin aims to develop and manage Northern Trust Asset Management's long/short offerings, indicating a strategic move to diversify its portfolio options [1].

Market Overview - The current market is experiencing record highs despite uncertainties surrounding the government shutdown and economic conditions [3][4] - Historical patterns indicate that markets have generally shrugged off past government shutdowns, suggesting a potential for resilience [4] Economic Cycle and Monetary Policy - The economic cycle's current phase, along with the Federal Reserve's monetary policy, introduces uncertainty, particularly as the Fed shifts towards more accommodative measures [5] - The labor market is showing signs of softening, which is acknowledged by the Fed, contributing to investor anxiety [6] Interest Rate Outlook - There is a paradox where increased uncertainty may lead to a higher likelihood of future Fed interest rate cuts [7] - The expectation is for continued Fed rate cuts, potentially lowering the Fed funds rate by about 100 basis points over the next 12 months [8][9] Investment Strategy - A balanced portfolio should include both risk assets (stocks) and defensive assets (bonds), with a current preference for risk assets [10] - Confidence in a soft landing for the U.S. economy has led to increased exposure to U.S. markets, with a reduced likelihood of an outright recession [10] - Positive earnings estimates are anticipated, with companies having doubled their earnings estimates last quarter, indicating strong trends moving forward [11] Fiscal Stimulus and Technological Impact - There is a significant amount of fiscal stimulus in the U.S., which is expected to support economic growth [12] - The impact of artificial intelligence (AI) on the market is a critical factor that cannot be overlooked [12]

Core Viewpoint - Northern Trust Corporation (NTRS) is expected to report strong earnings growth in its upcoming third-quarter results, with analysts projecting a profit increase of 13.3% year-over-year, reflecting the company's solid performance and historical earnings surprise record [2][5]. Financial Performance - NTRS is anticipated to deliver a profit of $2.13 per share for Q3, up from $1.96 per share in the same quarter last year, indicating a 13.3% increase [2]. - For the full fiscal year 2025, analysts expect an EPS of $8.55, representing an 11% growth from $7.70 in 2024, with further growth projected for fiscal 2026 to $9.32 per share, a 9% year-over-year increase [3]. - Despite a 26.4% year-over-year decline in topline revenue to $2 billion in Q2, the company exceeded market expectations, and its EPS increased by 12.1% year-over-year to $2.13, surpassing consensus estimates by 2.4% [5]. Stock Performance - NTRS stock has appreciated by 50.7% over the past 52 weeks, significantly outperforming the S&P 500 Index's 17.6% and the Financial Select Sector SPDR Fund's 18.2% gains during the same period [4]. - Following the release of Q2 results, the stock experienced a decline of 1.8%, despite reporting better-than-expected financials [5]. Analyst Sentiment - The consensus rating for NTRS is "Hold," with 16 analysts providing varied opinions: two "Strong Buys," one "Moderate Buy," nine "Holds," one "Moderate Sell," and three "Strong Sells" [6]. - The stock is currently trading above its mean price target of $132.46 [6].

Core Viewpoint - Northern Trust Corporation is a financial services company that offers asset servicing, fund administration, and wealth management, recognized for its strong dividend offerings and potential for near-term performance [1][5][6] Company Overview - Northern Trust operates in the finance sector and competes with institutions like State Street and BNY Mellon [1] - The company has a market capitalization of approximately $25.49 billion and a trading volume of 1,173,714 shares [4] Stock Performance - As of September 29, 2025, Morgan Stanley maintained an "Underweight" rating but raised the price target from $110 to $131, indicating some optimism despite caution [2][6] - The stock was priced at $133.31, reflecting a year-to-date price change of 28.18% [2] - The stock's current price represents a 1.47% increase from the previous day, with fluctuations between $131.70 and $135 during the trading day [4] Investment Appeal - Northern Trust is recognized as a strong momentum stock by Zacks Investment Research, suggesting it is well-positioned for strong near-term performance [3][6] - The company's consistent dividend payments are a significant attraction for investors seeking steady income, contributing to long-term returns [5][6]