BNY Mellon (BK) Price Targets Raised by KBW and RBC Capital

Core Viewpoint - The Bank of New York Mellon Corporation (NYSE:BK) is identified as one of the most profitable cheap stocks to invest in, with recent price target increases from Keefe, Bruyette & Woods and RBC Capital, reflecting strong performance and future profitability potential [1][4]. Group 1: Price Target Increases - Keefe, Bruyette & Woods raised its price target for BNY Mellon from $132 to $143 while maintaining an Outperform rating [1]. - RBC Capital increased its price target from $124 to $130, keeping a Sector Perform rating [4]. Group 2: Financial Performance and Projections - The company demonstrated strong performance in its recent quarter, with new medium-term profitability targets including a pre-tax margin of 38% or more and a return on tangible common equity (ROTCE) of 28% or more [2]. - EPS estimates for 2026 and 2027 were increased by Keefe, Bruyette & Woods, highlighting the company's progress towards achieving a high 20% ROTCE and expanding net interest margins, which could lead to multiple expansions [3]. Group 3: Strategic Focus - BNY Mellon's "laserlike focus" on execution is noted as a key factor in achieving positive operating leverage, described as the company's "Northstar" metric [4].