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State Street

NYSE:STT.PRE
Snowflake Description

Established dividend payer and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
STT.PRE
NYSE
$26B
Market Cap
  1. Home
  2. US
  3. Diversified Financials
Company description

State Street Corporation, through its subsidiaries, provides a range of financial products and services to institutional investors worldwide. The last earnings update was 28 days ago. More info.


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STT.PRE Share Price and Events
7 Day Returns
0.2%
NYSE:STT.PRE
2.4%
US Capital Markets
1.2%
US Market
1 Year Returns
-1.6%
NYSE:STT.PRE
-11.9%
US Capital Markets
3%
US Market
STT.PRE Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
State Street (STT.PRE) 0.2% -1.1% 3.1% -1.6% -2.6% -
US Capital Markets 2.4% 0.6% 12.7% -11.9% 57% 59.3%
US Market 1.2% 2.1% 14.6% 3% 39% 43.5%
1 Year Return vs Industry and Market
  • STT.PRE outperformed the Capital Markets industry which returned -11.9% over the past year.
  • STT.PRE underperformed the Market in United States of America which returned 3% over the past year.
Price Volatility
STT.PRE
Industry
5yr Volatility vs Market

Value

 Is State Street undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of State Street to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for State Street.

NYSE:STT.PRE Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 15 analysts.
= Stable Book Value * Return on Equity
= $61.08 * 13.2%
$8.04
Book Value of Equity per Share Weighted future Book Value estimates from 11 analysts. $61.08
Discount Rate (Cost of Equity) See below 10.4%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:STT.PRE
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Capital Markets Unlevered Beta Simply Wall St/ S&P Global 0.73
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.728 (1 + (1- 21%) (123.84%))
1.295
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.29
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.295 * 5.96%)
10.45%

Discounted Cash Flow Calculation for NYSE:STT.PRE using Excess Returns Model Model

The calculations below outline how an intrinsic value for State Street is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NYSE:STT.PRE Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (13.2% – 10.45%) * $61.08)
$1.66
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $1.66 / (10.45% - 2.73%)
$21.56
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $61.08 + $21.56
$82.64
NYSE:STT.PRE Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in NYSE:STT.PRE represents 0.37797x of NYSE:STT
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.37797x
Value per Share
(Listing Adjusted, USD)
= Value per Share (USD) x Listing Adjustment Factor
= $ 82.64 x 0.37797
$31.24
Value per share (USD) From above. $31.24
Current discount Discount to share price of $25.80
= -1 x ($25.80 - $31.24) / $31.24
17.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price State Street is available for.
Intrinsic value
17%
Share price is $25.8 vs Future cash flow value of $31.24
Current Discount Checks
For State Street to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • State Street's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • State Street's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for State Street's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are State Street's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:STT.PRE PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $6.48
NYSE:STT Share Price ** NYSE (2019-03-20) in USD $68.26
United States of America Capital Markets Industry PE Ratio Median Figure of 76 Publicly-Listed Capital Markets Companies 25.13x
United States of America Market PE Ratio Median Figure of 3,058 Publicly-Listed Companies 17.69x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of State Street.

NYSE:STT.PRE PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:STT Share Price ÷ EPS (both in USD)

= 68.26 ÷ 6.48

10.54x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • State Street is good value based on earnings compared to the US Capital Markets industry average.
  • State Street is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does State Street's expected growth come at a high price?
Raw Data
NYSE:STT.PRE PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 10.54x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts
5.4%per year
United States of America Capital Markets Industry PEG Ratio Median Figure of 33 Publicly-Listed Capital Markets Companies 2.17x
United States of America Market PEG Ratio Median Figure of 2,103 Publicly-Listed Companies 1.48x

*Line of best fit is calculated by linear regression .

NYSE:STT.PRE PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 10.54x ÷ 5.4%

1.93x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • State Street is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on State Street's assets?
Raw Data
NYSE:STT.PRE PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $55.53
NYSE:STT Share Price * NYSE (2019-03-20) in USD $68.26
United States of America Capital Markets Industry PB Ratio Median Figure of 149 Publicly-Listed Capital Markets Companies 4.83x
United States of America Market PB Ratio Median Figure of 5,156 Publicly-Listed Companies 1.89x
NYSE:STT.PRE PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:STT Share Price ÷ Book Value per Share (both in USD)

= 68.26 ÷ 55.53

1.23x

* Primary Listing of State Street.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • State Street is good value based on assets compared to the US Capital Markets industry average.
X
Value checks
We assess State Street's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Capital Markets industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Capital Markets industry average (and greater than 0)? (1 check)
  5. State Street has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is State Street expected to perform in the next 1 to 3 years based on estimates from 15 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
5.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is State Street expected to grow at an attractive rate?
  • State Street's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • State Street's earnings growth is positive but not above the United States of America market average.
  • State Street's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:STT.PRE Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:STT.PRE Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts 5.4%
NYSE:STT.PRE Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 15 Analysts 1.5%
United States of America Capital Markets Industry Earnings Growth Rate Market Cap Weighted Average 6.4%
United States of America Capital Markets Industry Revenue Growth Rate Market Cap Weighted Average 3.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:STT.PRE Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:STT.PRE Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 12,454 2,824 4
2020-12-31 12,344 2,687 13
2019-12-31 12,006 2,500 13
NYSE:STT.PRE Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 11,967 10,457 2,410
2018-09-30 11,837 13,900 2,346
2018-06-30 11,734 6,336 2,266
2018-03-31 11,517 8,260 2,152
2017-12-31 11,168 6,933 1,993
2017-09-30 10,848 1,871 2,216
2017-06-30 10,625 1,277 2,094
2017-03-31 10,387 2,947 2,095
2016-12-31 10,197 2,290 1,968
2016-09-30 10,206 5,655 1,958
2016-06-30 10,195 8,136 1,990
2016-03-31 10,232 1,052 1,794

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • State Street's earnings are expected to grow by 5.4% yearly, however this is not considered high growth (20% yearly).
  • State Street's revenue is expected to grow by 1.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:STT.PRE Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below

All data from State Street Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:STT.PRE Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 7.52 8.25 6.31 3.00
2020-12-31 7.46 8.80 6.68 16.00
2019-12-31 6.62 7.21 6.13 16.00
NYSE:STT.PRE Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 6.48
2018-09-30 6.35
2018-06-30 6.14
2018-03-31 5.80
2017-12-31 5.32
2017-09-30 5.86
2017-06-30 5.48
2017-03-31 5.41
2016-12-31 5.03
2016-09-30 4.94
2016-06-30 4.97
2016-03-31 4.43

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • State Street is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess State Street's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
State Street has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has State Street performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare State Street's growth in the last year to its industry (Capital Markets).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • State Street's year on year earnings growth rate has been positive over the past 5 years.
  • State Street's 1-year earnings growth exceeds its 5-year average (20.9% vs 3.5%)
  • State Street's earnings growth has not exceeded the US Capital Markets industry average in the past year (20.9% vs 34.2%).
Earnings and Revenue History
State Street's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from State Street Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:STT.PRE Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 11,967.00 2,410.00 6,419.00
2018-09-30 11,837.00 2,346.00 6,657.00
2018-06-30 11,734.00 2,266.00 6,577.00
2018-03-31 11,517.00 2,152.00 6,535.00
2017-12-31 11,168.00 1,993.00 6,089.00
2017-09-30 10,848.00 2,216.00 6,643.00
2017-06-30 10,625.00 2,094.00 6,554.00
2017-03-31 10,387.00 2,095.00 6,411.00
2016-12-31 10,197.00 1,968.00 5,950.00
2016-09-30 10,206.00 1,958.00 5,898.00
2016-06-30 10,195.00 1,990.00 5,960.00
2016-03-31 10,232.00 1,794.00 5,986.00
2015-12-31 10,348.00 1,848.00 6,009.00
2015-09-30 10,416.00 1,759.00 5,973.00
2015-06-30 10,387.00 1,762.00 5,824.00
2015-03-31 10,377.00 1,975.00 5,795.00
2014-12-31 10,264.00 1,958.00 5,853.00
2014-09-30 10,117.00 2,045.00 5,799.00
2014-06-30 9,962.00 2,034.00 5,713.00
2014-03-31 9,926.00 2,003.00 5,614.00
2013-12-31 9,858.00 2,016.00 5,583.00
2013-09-30 9,871.00 2,025.00 5,478.00
2013-06-30 9,802.00 2,148.00 5,420.00
2013-03-31 9,666.00 2,057.00 5,431.00
2012-12-31 9,652.00 2,019.00 5,532.00
2012-09-30 9,517.00 1,922.00 5,319.00
2012-06-30 9,588.00 1,811.00 5,408.00
2012-03-31 9,653.00 1,833.00 5,452.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • State Street has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • State Street used its assets less efficiently than the US Capital Markets industry average last year based on Return on Assets.
  • Unable to establish if State Street improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess State Street's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Capital Markets industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
State Street has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is State Street's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up State Street's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • State Street's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • State Street's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of State Street's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 2.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from State Street Company Filings, last reported 2 months ago.

NYSE:STT.PRE Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 24,790.00 32,010.00 87,365.00
2018-09-30 24,553.00 33,373.00 77,686.00
2018-06-30 22,571.00 30,795.00 91,146.00
2018-03-31 22,399.00 29,510.00 92,230.00
2017-12-31 22,317.00 25,388.00 77,681.00
2017-09-30 22,497.00 26,648.00 74,207.00
2017-06-30 22,068.00 27,826.00 74,969.00
2017-03-31 21,294.00 25,729.00 75,840.00
2016-12-31 21,219.00 28,433.00 82,550.00
2016-09-30 22,181.00 25,672.00 89,588.00
2016-06-30 22,104.00 30,188.00 91,526.00
2016-03-31 21,528.00 27,630.00 79,175.00
2015-12-31 21,135.00 25,152.00 85,575.00
2015-09-30 21,532.00 31,037.00 87,786.00
2015-06-30 21,500.00 33,440.00 130,800.00
2015-03-31 20,819.00 37,838.00 107,071.00
2014-12-31 21,328.00 36,157.00 106,626.00
2014-09-30 21,156.00 36,648.00 103,440.00
2014-06-30 21,700.00 33,456.00 112,134.00
2014-03-31 21,273.00 32,882.00 90,118.00
2013-12-31 20,378.00 34,330.00 80,026.00
2013-09-30 20,430.00 38,190.00 53,595.00
2013-06-30 20,081.00 34,496.00 62,619.00
2013-03-31 20,869.00 38,797.00 58,209.00
2012-12-31 20,869.00 30,689.00 63,562.00
2012-09-30 20,749.00 31,715.00 50,743.00
2012-06-30 19,897.00 31,406.00 50,577.00
2012-03-31 20,159.00 32,657.00 40,892.00
  • State Street's level of debt (129.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (168.3% vs 129.1% today).
  • Debt is well covered by operating cash flow (32.7%, greater than 20% of total debt).
  • Unable to confirm if the interest payments on State Street's debt are well covered by earnings due to lack of past financial data.
X
Financial health checks
We assess State Street's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. State Street has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is State Street's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.75%
Current annual income from State Street dividends. Estimated to be 3.2% next year.
If you bought $2,000 of State Street shares you are expected to receive $55 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • State Street's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).
  • State Street's dividend is below the markets top 25% of dividend payers in United States of America (3.64%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:STT.PRE Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
United States of America Capital Markets Industry Average Dividend Yield Market Cap Weighted Average of 43 Stocks 2%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2004 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:STT.PRE Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 2.39 6.00
2020-12-31 2.29 18.00
2019-12-31 2.02 18.00
NYSE:STT.PRE Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-21 1.880 2.655
2018-12-13 1.880 2.797
2018-07-19 1.880 2.375
2018-05-16 1.680 1.736
2018-02-15 1.680 1.646
2017-12-14 1.680 1.632
2017-07-20 1.680 1.781
2017-05-17 1.520 1.749
2017-02-16 1.520 1.898
2016-12-15 1.520 1.922
2016-09-15 1.520 2.066
2016-05-19 1.360 2.194
2016-02-18 1.360 2.314
2015-12-17 1.360 2.337
2015-08-28 1.360 1.945
2015-05-20 1.360 1.755
2015-05-08 1.360 1.737
2015-04-24 1.360 1.749
2015-02-19 1.200 1.595
2014-12-11 1.200 1.581
2014-07-17 1.200 1.648
2014-05-15 1.200 1.801
2014-05-09 1.200 1.850
2014-04-25 1.200 1.865
2014-02-20 1.040 1.555
2013-12-19 1.040 1.470
2013-07-19 1.040 1.505
2013-05-15 1.040 1.566
2013-02-21 1.040 1.773
2012-12-13 0.960 1.858
2012-11-02 0.960 2.141
2012-10-16 0.960 2.157
2012-05-16 0.960 2.281
2012-03-14 0.960 2.139
2011-12-15 0.720 1.752
2011-09-15 0.720 1.964
2011-06-16 0.720 1.868
2011-03-18 0.720 1.593
2010-12-16 0.040 0.087
2010-09-16 0.040 0.096
2010-06-17 0.040 0.108
2010-02-25 0.040 0.093
2009-12-17 0.040 0.090
2009-09-17 0.040 0.088
2009-06-18 0.040 0.080
2009-03-23 0.040 0.106

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of State Street's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.6x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.4x coverage).
X
Income/ dividend checks
We assess State Street's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can State Street afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. State Street has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of State Street's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Ron O’Hanley
COMPENSATION $10,247,895
AGE 61
TENURE AS CEO 0.2 years
CEO Bio

Mr. Ronald Philip O'Hanley, also known as Ron, has been the Chief Executive Officer of State Street Corporation since January 1, 2019 and has been its President since November 6, 2017. He served as Chief Operating Officer of State Street Corporation since November 6, 2017 and before that as its Vice Chairman since January 2017. He has been a Director of State Street Corporation since January 1, 2019. He has been a Director of Unum Group since February 26, 2015. He served as President and Chief Executive Officer of State Street Global Advisors, the investment arm of State Street, from April 2015 to November 2017. Prior to joining State Street, he served as President of Asset Management and Corporate Services for Fidelity Investments, a leading provider of financial products and services, from July 2010 to March 2014 and was a member of Fidelity’s Executive Committee. From 2007 to 2010, Mr. O’Hanley served as Vice Chairman of The Bank of New York Mellon Corporation (BNY Mellon), a global investments company, and President and Chief Executive Officer of BNY Mellon Asset Management. Prior to the merger of The Bank of New York and Mellon Financial Corporation, he was Vice Chairman of Mellon Financial Corporation and President and Chief Executive Officer of Mellon Asset Management. Before joining Mellon in 1997, he was a partner with McKinsey & Company, Inc., a management consulting firm. Mr. O’Hanley has significant executive management and operational experience within the financial services industry, both domestically and internationally. He has served in senior leadership positions at large, global organizations, which has included responsibility for investment, finance, human resources, legal, risk, corporate compliance, and enterprise technology functions.

CEO Compensation
  • Ron's compensation has increased by more than 20% in the past year.
  • Ron's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the State Street management team in years:

1.7
Average Tenure
53.5
Average Age
  • The average tenure for the State Street management team is less than 2 years, this suggests a new team.
Management Team

Ron O’Hanley

TITLE
President
COMPENSATION
$10M
AGE
61
TENURE
0.2 yrs

Eric Aboaf

TITLE
Executive VP & CFO
COMPENSATION
$6M
AGE
54
TENURE
2.1 yrs

Andrew Erickson

TITLE
Executive VP & Head of Global Services
COMPENSATION
$8M
AGE
48
TENURE
4.9 yrs

Cyrus Taraporevala

TITLE
President & CEO of State Street Global Advisors
COMPENSATION
$8M
AGE
52
TENURE
1.3 yrs

Lou Maiuri

TITLE
Executive VP & COO
AGE
53
TENURE
0.1 yrs

Ian Appleyard

TITLE
Executive VP
AGE
53
TENURE
0.8 yrs

Albert Cristoforo

TITLE
Chief Technology Officer & Executive VP

Karen Keenan

TITLE
Executive VP
AGE
55
TENURE
2.8 yrs

Ilene Bieler

TITLE
Global Head of Investor Relations

Jeff Carp

TITLE
Executive VP
COMPENSATION
$6M
AGE
61
TENURE
13.2 yrs
Board of Directors Tenure

Average tenure and age of the State Street board of directors in years:

8.7
Average Tenure
61.5
Average Age
  • The tenure for the State Street board of directors is about average.
Board of Directors

Jay Hooley

TITLE
Chairman
COMPENSATION
$19M
AGE
60
TENURE
8.2 yrs

Ron O’Hanley

TITLE
President
COMPENSATION
$10M
AGE
61
TENURE
0.2 yrs

Rick Sergel

TITLE
Director
COMPENSATION
$333K
AGE
68
TENURE
20.2 yrs

Greg Summe

TITLE
Director
COMPENSATION
$300K
AGE
61
TENURE
18.2 yrs

Patrick de Saint-Aignan

TITLE
Director
COMPENSATION
$355K
AGE
69
TENURE
10 yrs

Bill Freda

TITLE
Director
COMPENSATION
$363K
AGE
65
TENURE
4.3 yrs

Lynn Dugle

TITLE
Director
COMPENSATION
$333K
AGE
58
TENURE
3.3 yrs

Kennett Burnes

TITLE
Independent Lead Director
COMPENSATION
$429K
AGE
75
TENURE
9.2 yrs

Dame Fawcett

TITLE
Director
COMPENSATION
$334K
AGE
62
TENURE
12.3 yrs

Antoine Shagoury

TITLE
Executive VP & Global Chief Information Officer
AGE
47
TENURE
3.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess State Street's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. State Street has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

State Street Corporation, through its subsidiaries, provides a range of financial products and services to institutional investors worldwide. It offers investment servicing products and services, including custody; product and participant level accounting; daily pricing and administration; master trust and master custody; depotbank services; record-keeping; cash management; foreign exchange, brokerage, and other trading services; securities finance; deposit and short-term investment facilities; loans and lease financing; investment manager and alternative investment manager operations outsourcing; performance, risk, and compliance analytics; and financial data management to support institutional investors. The company also provides investment management strategies and products, such as core and enhanced indexing, multi-asset strategies, active quantitative and fundamental active capabilities, and alternative investment strategies. In addition, it offers services and solutions, including environmental, social, and governance investing; defined benefit and defined contribution; and outsourced chief investment officer. The company offers its products and services to mutual funds, collective investment funds and other investment pools, corporate and public retirement plans, insurance companies, foundations, endowments, and investment managers. State Street Corporation was founded in 1792 and is headquartered in Boston, Massachusetts.

Details
Name: State Street Corporation
STT.PRE
Exchange: NYSE
Founded: 1792
$25,847,315,422
378,659,763
Website: http://www.statestreet.com
Address: State Street Corporation
State Street Financial Center,
One Lincoln Street,
Boston,
Massachusetts, 02111,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE STT Common Stock New York Stock Exchange US USD 02. Jan 1980
DB ZYA Common Stock Deutsche Boerse AG DE EUR 02. Jan 1980
LSE 0L9G Common Stock London Stock Exchange GB USD 02. Jan 1980
BMV STT * Common Stock Bolsa Mexicana de Valores MX MXN 02. Jan 1980
NYSE STT.PRD DEP SHS 1/4000 D New York Stock Exchange US USD 27. Feb 2014
NYSE STT.PRC DEP SHS REPSTG 1 New York Stock Exchange US USD 16. Aug 2012
NYSE STT.PRE SHS REPSTG PFD S New York Stock Exchange US USD 21. Nov 2014
NYSE STT.PRG DEP SHS PFD G New York Stock Exchange US USD 06. Apr 2016
DB A2RSCJ 5.625%-FRN SUB PERP USD 'H' Deutsche Boerse AG DE USD 21. Sep 2018
Number of employees
Current staff
Staff numbers
40,142
State Street employees.
Industry
Asset Management and Custody Banks
Diversified Financials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/21 00:52
End of day share price update: 2019/03/20 00:00
Last estimates confirmation: 2019/03/15
Last earnings filing: 2019/02/21
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.