Loading...

Passive Investing And Fee Pressures Will Squeeze Profit Margins

Published
08 Aug 24
Updated
26 Sep 25
AnalystConsensusTarget's Fair Value
US$126.38
5.5% overvalued intrinsic discount
26 Sep
US$133.31
Loading
1Y
48.0%
7D
1.4%

Author's Valuation

US$126.38

5.5% overvalued intrinsic discount

AnalystConsensusTarget Fair Value

Shared on26 Sep 25
Fair value Increased 1.72%

Northern Trust’s consensus price target was modestly raised to $126.38, as analysts cited outperformance in asset growth, market-driven fee gains, and relatively strong profitability, though concerns remain about valuation following speculation-driven rallies and persistent market volatility. Analyst Commentary Strong growth in assets under custody/administration (AUC/A) outpacing peers, especially when isolating from general market effects.

Shared on11 Sep 25
Fair value Increased 1.71%

Analyst price targets for Northern Trust rose to $124.25 as bullish views center on superior long-term asset growth, improved profitability from market tailwinds, and renewed M&A speculation, though the stock’s recent rally and regulatory hurdles temper upside expectations. Analyst Commentary Bullish analysts are raising price targets on Northern Trust due to strong long-term growth in assets under custody/administration, which significantly outpaced peers since the post-GFC period, benefiting from rising equity and fixed income markets.

Shared on27 Aug 25
Fair value Increased 3.72%

Driven by robust AUC/A growth, improving profitability, and positive market and revenue trends—partially offset by skepticism around deal speculation and regulatory hurdles—analysts have raised Northern Trust’s price target from $117.79 to $122.17. Analyst Commentary Bullish analysts cite robust growth in assets under custody/administration (AUC/A) at Northern Trust, outpacing peers when market effects are stripped out.

Shared on23 Apr 25
Fair value Decreased 10%