State Street beats Q4 adjusted EPS estimates on higher fee revenue, interest income

Overview

• Financial services firm's Q4 revenue rose 7%, beating analyst expectations

• Adjusted EPS for Q4 beat analyst expectations

• Company expanded Wealth Services via Apex Fintech partnership

Outlook

• State Street plans to expand Wealth Services through Apex Fintech Solutions partnership

• Company aims to drive transformation with technology and AI in 2026

Result Drivers

• REVENUE GROWTH - Total revenue increased 7%, driven by higher fee revenue, net interest income, and currency translation effects

• FEE REVENUE - Fee revenue increased 8%, supported by higher servicing, management, FX trading, and securities finance revenues

• STRATEGIC INVESTMENTS - Co expanded Wealth Services through partnership with Apex Fintech Solutions and launched Digital Asset Platform

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the investment management & fund operators peer group is "buy"

• Wall Street's median 12-month price target for State Street Corp is $144.00, about 5.7% above its January 15 closing price of $136.29

• The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 11 three months ago

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