Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, July 19, 2024

Article Excerpt

STATE STREET CORP., $84.52, New York symbol STT, remains a buy. The company sells accounting and administrative services to operators of mutual funds and pension plans. State Street also offers banking services, so it’s subject to the Fed’s stress test, which it passed. Thanks to its strong capital position, the company will raise your quarterly dividend in the third quarter of 2024. Investors will then receive $0.76 a share, up 10.1% from $0.69. The new annual rate of $3.04 a share yields 3.6%. Meantime, in the three months ended June 30, 2024, State Street’s revenue rose 1.5%, to $2.46 billion from $2.42 billion a year earlier. That’s due to higher assets under administration and higher interest income on its loan portfolio. However, higher spending on new computer systems and other expenses cut its overall earnings by 9.8%, to $655 million from $726 million. Due to fewer shares outstanding, per-share earnings declined just 0.9%, to $2.15 from $2.17. Even so, that also beat the consensus estimate…