Street View: BNY starts 2026 on positive note as higher profits, AI fuel momentum

The oldest U.S. bank BNY BK.N beat Q4 profit estimates and raised its profitability target on Tuesday, helped by higher interest rates and rising client asset values amid strong equity markets

Median PT of 18 brokerages covering the stock is $132.5 - data compiled by LSEG

INVESTMENT AND WEALTH MANAGEMENT IN FOCUS

Barclays ("overweight," PT: $143) expects a sharp rebound in investment and wealth management, the only unit still trailing past margin goals, while spotting growth opportunities across the business
BofA Global Research ("buy," PO: $142) expects co's Q4 2025 update to increase investor confidence, due to strong profitability, double-digit earnings per share (EPS) growth, and "stock valuation that is far from reflecting the strategic optionality created by BNY’s leadership in fast-evolving areas such as AI and digital assets"

KBW ("outperform," PT: $143) believes BNY’s push toward a high-20% return on tangible common equity (ROTCE), along with rising net interest margins and improving profitability in investment & wealth management, creates room for its valuation to grow

Morningstar (fair value: $100) says co's outlook points to slower momentum; noting that while cost cuts, including headcount reductions, have boosted efficiency, favorable market conditions also played a role—and those may not persist