Bank of New York Mellon
Market Cap
US$41.8b
Last Updated
2019/10/20 00:06 UTC
Data Sources
Company Financials +
Executive Summary
The Bank of New York Mellon Corporation provides a range of financial products and services to institutions, corporations, and high net worth individuals in the United States and internationally.
Snowflake
Fundamentals
Excellent balance sheet, good value and pays a dividend.
Similar Companies
Share Price & News
How has Bank of New York Mellon's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
2.8%
BK
1.7%
US Capital Markets
0.4%
US Market
1 Year Return
-4.3%
BK
2.4%
US Capital Markets
6.9%
US Market
Return vs Industry: BK underperformed the US Capital Markets industry which returned 2.4% over the past year.
Return vs Market: BK underperformed the US Market which returned 6.9% over the past year.
Shareholder returns
| BK | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.8% | 1.7% | 0.4% |
| 30 Day | -2.2% | -3.1% | -1.1% |
| 90 Day | -1.0% | -2.3% | -0.5% |
| 1 Year | -2.0%-4.3% | 4.7%2.4% | 9.3%6.9% |
| 3 Year | 11.8%5.3% | 51.1%42.6% | 45.8%36.4% |
| 5 Year | 33.6%22.1% | 75.7%59.6% | 62.9%45.1% |
Price Volatility Vs. Market
How volatile is Bank of New York Mellon's share price compared to the market and industry in the last 5 years?
Simply Wall St News
20 hours ago | Simply Wall St
The Bank of New York Mellon Corporation Just Beat Earnings Expectations: Here's What Analysts Think Will Happen Next4 days ago | Simply Wall St
Why The Bank of New York Mellon Corporation (NYSE:BK) Is An Attractive Investment To Consider3 weeks ago | Simply Wall St
Do Directors Own The Bank of New York Mellon Corporation (NYSE:BK) Shares?Valuation
Is Bank of New York Mellon undervalued compared to its fair value and its price relative to the market?
15.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Undervalued: BK ($45.34) is trading below our estimate of fair value ($53.61)
Significantly Undervalued: BK is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: BK is good value based on its PE Ratio (11.8x) compared to the Capital Markets industry average (39.4x).
PE vs Market: BK is good value based on its PE Ratio (11.8x) compared to the US market (17.6x).
Price to Earnings Growth Ratio
Low PEG Ratio: BK's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: BK is good value based on its PB Ratio (1.1x) compared to the US Capital Markets industry average (6.5x).
Next Steps
Future Growth
How is Bank of New York Mellon forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
-7.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BK's earnings are forecast to decline over the next 3 years (-7% per year).
Earnings vs Market: BK's earnings are forecast to decline over the next 3 years (-7% per year).
High Growth Earnings: BK's earnings are forecast to decline over the next 3 years.
Revenue vs Market: BK's revenue is expected to decline over the next 3 years (-0.4% per year).
High Growth Revenue: BK's revenue is forecast to decline over the next 3 years (-0.4% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: BK's Return on Equity is forecast to be low in 3 years time (10.2%).
Next Steps
Past Performance
How has Bank of New York Mellon performed over the past 5 years?
9.9%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: BK's earnings have grown by 9.9% per year over the past 5 years.
Accelerating Growth: BK's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: BK had negative earnings growth (-15.5%) over the past year, making it difficult to compare to the Capital Markets industry average (31.1%).
Return on Equity
High ROE: BK's Return on Equity (9.4%) is considered low.
Return on Assets
ROA vs Industry: BK's Return on Assets is below or equal to the Capital Markets industry average last year.
Return on Capital Employed
ROCE Improving: Insufficient data to calculate BK's Return on Capital Employed to determine if it has improved over the past 3 years.
Next Steps
Financial Health
How is Bank of New York Mellon's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Inventory Level: BK has a low level of unsold assets or inventory.
Debt Coverage by Assets: BK's debt is covered by short term assets (assets are 2.465420x debt).
Financial Institutions Analysis
Asset Level: BK's level of assets compared to its equity is low.
Allowance for Bad Loans: BK has a low allowance for bad loans.
Low Risk Liabilities: BK's liabilities are made up of primarily low risk sources of funding.
Loan Level: BK has an acceptable proportion of non-loan assets held.
Low Risk Deposits: BK's loans are broadly funded by customer deposits.
Level of Bad Loans: BK has an appropriate level of bad loans (0.35%)
Next Steps
Dividend
What is Bank of New York Mellon's current dividend yield, its reliability and sustainability?
2.73%
Current Dividend Yield
Upcoming Dividend Payment
Purchase Bank of New York Mellon before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: BK's dividend (2.73%) is higher than the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: BK's dividend (2.73%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stable Dividend: BK's dividend payments have been volatile in the past 10 years.
Growing Dividend: BK's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (29.9%), BK's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BK's dividends in 3 years are forecast to be well covered by earnings (31.7% payout ratio).
Next Steps
Management
What is the CEO of Bank of New York Mellon's salary, the management and board of directors tenure and is there insider trading?
2.3yrs
Average management tenure
CEO
Brian Ruane 0
2.3yrs
Tenure
Mr. Brian A. Ruane has been Chief Executive Officer at BNY Mellon Government Securities Services Corp. since June 2017 and serves for its Clearance & Collateral Management. Mr. Ruane served as Executive Vi ...
Management Age and Tenure
2.3yrs
Average Tenure
55yo
Average Age
Experienced Management: BK's management team is considered experienced (2.3 years average tenure).
Board Age and Tenure
2.9yrs
Average Tenure
62yo
Average Age
Experienced Board: BK's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Shares | 11,350 |
| Max Price | US$44.93 |
| Entity | Company |
| Shares | 621,807 |
| Max Price | US$50.12 |
| Entity | Individual |
| Role | Chief Legal Officer Senior EVP & General Counsel |
| Shares | 25,000 |
| Max Price | US$49.43 |
| Entity | Company |
| Shares | 792,000 |
| Max Price | US$52.28 |
| Entity | Individual |
| Shares | 5,797 |
| Max Price | US$53.00 |
| Entity | Individual |
| Shares | 4,674 |
| Max Price | US$52.99 |
| Entity | Individual |
| Role | Chief Information Officer Senior Executive VP & Chief Information Officer |
| Shares | 22,670 |
| Max Price | US$52.99 |
| Entity | Company |
| Shares | 2,107,000 |
| Max Price | US$53.64 |
Ownership Breakdown
Management Team
Brian Ruane
CEO of BNY Mellon Government Securities Services Corp. and Clearance & Collateral Management
- Tenure: 2.3yrs
Mitchell Harris (64yo)
Senior EVP & CEO of Investment Management
- Tenure: 8.4yrs
- Compensation: US$8.88m
Mark Musi
Chief Compliance & Ethics Officer
- Tenure: 0yrs
Jane McCarthy (54yo)
Senior EVP & General Counsel
- Tenure: 5.5yrs
Eva Radtke
Global Head of Corporate Communications
- Tenure: 2.5yrs
O'Connor Engle (55yo)
Senior Executive VP & Chief Information Officer
- Tenure: 2.3yrs
- Compensation: US$5.58m
Mike Santomassimo (44yo)
Senior EVP & CFO
- Tenure: 1.8yrs
- Compensation: US$2.61m
Lester Owens (61yo)
Senior EVP & Head of Operations
- Tenure: 0.7yrs
Sabet Elias
Chief Technology Officer
- Tenure: 1yrs
Magda Palczynska
Global Head of Investor Relations
- Tenure: 0.6yrs
Board Members
Steve Black (67yo)
Independent Director
- Tenure: 1.5yrs
- Compensation: US$212.46k
Ted Kelly (73yo)
Independent Director
- Tenure: 12.3yrs
- Compensation: US$279.96k
Sam Scott (75yo)
Independent Director
- Tenure: 12.3yrs
- Compensation: US$270.79k
Jeffrey Goldstein (64yo)
Independent Director
- Tenure: 5.5yrs
- Compensation: US$269.96k
Linda Cook (61yo)
Independent Director
- Tenure: 2.8yrs
- Compensation: US$249.96k
John Hinshaw (49yo)
Independent Director
- Tenure: 5.1yrs
- Compensation: US$269.96k
Todd Gibbons (62yo)
Interim CEO & Director
- Tenure: 0.08yrs
- Compensation: US$7.45m
Liz Robinson (50yo)
Independent Director
- Tenure: 3yrs
- Compensation: US$374.96k
Joe Echevarria (62yo)
Non-Executive Chairman
- Tenure: 0.08yrs
- Compensation: US$329.96k
Jennifer Morgan (48yo)
Independent Director
- Tenure: 2.8yrs
- Compensation: US$249.96k
Company Information
The Bank of New York Mellon Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: The Bank of New York Mellon Corporation
- Ticker: BK
- Exchange: NYSE
- Founded: 1784
- Industry: Asset Management and Custody Banks
- Sector: Diversified Financials
- Market Cap: US$41.813b
- Shares outstanding: 922.20m
- Website: https://www.bnymellon.com
Number of Employees
Location
- The Bank of New York Mellon Corporation
- 240 Greenwich Street
- New York
- New York
- 10286
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| BK | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1969 |
| BN9 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1969 |
| BK * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jan 1969 |
| 0HLQ | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1969 |
| BK.PRC | NYSE (New York Stock Exchange) | DP1/4000 PFD-C | US | USD | Sep 2012 | |
| A1HK20 | DB (Deutsche Boerse AG) | PERP JR D NT4.5% | DE | USD | May 2013 | |
| BONY34 | BOVESPA (Bolsa de Valores de Sao Paulo) | EACH BDR REPR 1 COM STK USD0.01 | BR | BRL | Aug 2015 |
Biography
The Bank of New York Mellon Corporation provides a range of financial products and services to institutions, corporations, and high net worth individuals in the United States and internationally. The compa ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/20 00:06 |
| End of Day Share Price | 2019/10/18 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.