Should Northern Trust’s (NTRS) Swift Partnership on Digital Carbon Credits Prompt Investor Action?

• In July 2025, Northern Trust announced a partnership with Swift to test tokenized asset transactions, such as carbon credits, using commercial bank accounts in Australia as part of Project Acacia, overseen by the Reserve Bank of Australia and DFCRC.
• This collaboration not only trialed interoperability between traditional banking and digital assets but also extended Northern Trust's footprint in digital carbon credit infrastructure and sustainable finance.
• We’ll examine how Northern Trust’s push into digital asset settlement could shape its investment outlook and long-term growth prospects.

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Northern Trust Investment Narrative Recap

Being a Northern Trust shareholder often comes down to believing in the company's ability to blend traditional financial services with digital innovation, particularly in sustainable finance. The recent partnership with Swift to test tokenized asset settlement in Australia is an incremental, rather than transformative, development in the near term; it does not alter the biggest current catalysts for the stock, which remain ongoing efficiency improvements and client growth. The chief risk for the business continues to be market volatility and delays in client decision-making, which could slow new business and future revenue.

Of the recent announcements, the rumored takeover approach by Bank of New York Mellon in late June is one of the most relevant events, as it created significant short-term volatility and drew attention to Northern Trust’s valuation and growth prospects. However, management's stated commitment to remaining independent means that catalysts driving organic growth, like continued development of digital asset infrastructure, are still central to the company's future direction.

However, keep in mind that the risk of slower new client mandates from market volatility is something every investor should understand before...

Read the full narrative on Northern Trust (it's free!)

Northern Trust's outlook anticipates $8.1 billion in revenue and $1.4 billion in earnings by 2028. This scenario assumes a 2.0% annual decline in revenue and a $0.7 billion decrease in earnings from the current $2.1 billion level.

Uncover how Northern Trust's forecasts yield a $105.50 fair value, a 18% downside to its current price.

Exploring Other Perspectives

Fair value estimates from four Simply Wall St Community members span from US$105.50 to an outlier at US$254,541.26, showing a broad divergence in valuation opinions. While some expect surging growth from digital initiatives, you should weigh this against the real risk that heightened market uncertainty may affect client growth and revenue trends, consider seeking out these alternative views to inform your own analysis.

Explore 4 other fair value estimates on Northern Trust - why the stock might be worth 18% less than the current price!

Build Your Own Northern Trust Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Northern Trust research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Northern Trust research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Northern Trust's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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