State Street Corporation
- Open
- 181.74
- Day high
- 186.50
- Day low
- 179.35
- Prev close
- 185.66
- Volume
- 3.1M
- Mkt cap
- $50.5B
- P/E (TTM)
- 15.6
- EPS (TTM)
- $11.70
- P/B
- —
- P/S
- 2.4
- Yield
- 0.92%
- Per share
- $1.68
- ▼Insiders net selling -$6.8M over the last 3 months (0 open-market buys, 7 sales)
- 🏛Institutions mixed (13F)
State Street Corporation (STT) is a Financial Services company listed on NYSE. The stock is up 68% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 7 sales (SEC Form 4). Drillr has 14 published research articles covering STT.
State Street Corporation (STT) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 12 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
STT earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Jul 16, 2026 | $3.34 | $3.65 | +9.3% | $4.0B | +4.3% |
| Apr 17, 2026 | $2.64 | $2.84 | +7.6% | $3.8B | +3.6% |
| Jan 16, 2026 | $2.84 | $2.97 | +4.6% | $3.7B | +1.8% |
| Oct 17, 2025 | $2.64 | $2.78 | +5.3% | $5.7B | +66.1% |
| Jul 15, 2025 | $2.35 | $2.53 | +7.7% | $5.8B | +72.8% |
| Apr 17, 2025 | $2.00 | $2.04 | +2.0% | $5.5B | +65.4% |
| Jan 17, 2025 | $2.29 | $2.60 | +13.5% | $5.7B | +70.5% |
| Oct 15, 2024 | $2.12 | $2.26 | +6.6% | $5.5B | +73.4% |
| Jul 16, 2024 | $2.03 | $2.15 | +5.9% | $5.5B | +73.3% |
| Apr 12, 2024 | $1.50 | $1.69 | +12.7% | $5.3B | +73.5% |
| Jan 19, 2024 | $1.81 | $2.04 | +12.7% | $5.0B | +68.1% |
| Oct 18, 2023 | $1.77 | $1.93 | +9.0% | $4.4B | +50.3% |
STT insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 15, 2026 | Horgan Kathryn Mofficer: Executive Vice President | Sell | 5,500 | $162.78 |
| Jun 9, 2026 | RICHARDS MICHAEL Lofficer: EVP and Chief Admin Officer | Sell | 1,500 | $162.14 |
| May 28, 2026 | O HANLEY RONALD Pdirector, officer: Chairman, CEO and President | Sell | 14,553 | $155.35 |
| May 28, 2026 | Hu W. Bradfordofficer: EVP and Chief Risk Officer | Sell | 9,212 | $155.35 |
| May 22, 2026 | DeMaio Donnadirector | Grant | 1,526 | — |
| May 22, 2026 | Fawcett Amelia C.director | Grant | 1,526 | — |
| May 22, 2026 | MATHEW SARAdirector | Grant | 1,526 | — |
| May 22, 2026 | Halliday Patriciadirector | Grant | 1,526 | — |
| May 22, 2026 | Gordon Susan M.director | Grant | 1,526 | — |
| May 22, 2026 | Meaney William Ldirector | Grant | 1,526 | — |
| May 22, 2026 | Porter Brian J.director | Grant | 1,526 | — |
| May 22, 2026 | Chandoha Marie Adirector | Grant | 1,526 | — |
| May 22, 2026 | O'Sullivan Seandirector | Grant | 1,526 | — |
| May 22, 2026 | Freda William Cdirector | Grant | 1,526 | — |
| May 22, 2026 | Rhea John Bdirector | Grant | 2,533 | — |
Source: STT SEC Form 4 filings, latest Jun 15, 2026. For informational purposes only — not investment advice.
See the full STT insider & 13F page →STT research & analysis
Northern Trust's ETF Custody Play: Why a $10T+ Market Is Finally Getting a Third Competitor
Northern Trust is entering the ETF custody market with a dedicated services unit targeting active ETF sponsors — a direct challenge to the BNY Mellon and State Street duopoly that controls the majority of the $10T+ ETF custody market. NTRS and ICE are the clearest beneficiaries: NTRS as the challenger with institutional credibility and a 13.7x forward P/E, ICE as the infrastructure layer that profits from ETF growth regardless of who wins the custody wars.
NTRSBKICEETF Custody Fee War: How the Three-Way Race Reshapes the Margin Math for BNY, STT, and NTRS
BNY Mellon, State Street, and Northern Trust are competing in a structurally compressed ETF administration market, with all three posting ~40% stock returns over the past year but diverging sharply on margins and growth momentum. BNY leads on scale ($39.6B revenue, 36.9% 3-year EPS CAGR) and is best positioned to absorb fee compression, while Northern Trust's niche positioning and lowest EBIT margin (16.3%) make it most vulnerable. State Street trades at the steepest discount (10.5× forward P/E) but faces the highest structural fee-revenue headwinds.
BKNTRSNorthern Trust Joins ICE ETF Hub: What It Means for the $10T ETF Back-Office Battle
Northern Trust's decision to join the ICE ETF Hub marks a consolidation milestone in the $10 trillion ETF back-office market. ICE is the structural winner as the platform landlord, BNY Mellon leads on scale, State Street offers the deepest value, Northern Trust is the most compelling turnaround, and Broadridge provides contrarian recurring-revenue exposure after a 19% drawdown.
ICEBKNTRSDoes ICE's ETF Hub give it pricing power over the custodians it connects — and how much margin is at risk?
ICE's ETF Hub, embedded in its $2.4B Fixed Income and Data Services segment, gives it genuine pricing power over custody banks BNY, State Street, and Northern Trust — particularly in fixed income ETF pricing where alternatives are scarce. With 38.6% operating margins versus ~18% for custodians and 81% recurring revenue, ICE extracts significantly more value per dollar, though its leverage is bounded to fixed income and index-linked products rather than the broader equity ETF market.
ICEBKNTRSHow much ETF AUA does each custody giant need to add to justify current valuations?
State Street requires the least incremental ETF AUA (~$6.5 trillion) to justify its current valuation at 1.26x book, making it the best risk-reward among custody giants. BNY Mellon needs ~$25 trillion but has the scale to deliver, while Northern Trust faces the steepest challenge at $9 trillion with declining earnings and the richest P/B multiple at 2.06x.
BKNTRSBNY up 45%, State Street up 47%, Northern Trust up 43% in 12 months — which custody stock still has room to run?
All three custody giants — BNY Mellon, State Street, and Northern Trust — delivered 43-47% returns over the past 12 months, but State Street stands out as the best value at 10.8x forward earnings, a 23% discount to peers. BK offers the highest quality (36.9% 3-year EPS CAGR, PEG of 1.11), while NTRS is the income play with a 2.77% yield.
BKNTRSAt what scale does ICE's ETF Hub become a winner-take-most platform — and is it approaching that threshold?
ICE's ETF Hub is approaching a winner-take-most threshold as Northern Trust's addition means three of the four largest U.S. ETF custodians now route through a single platform, covering an estimated 70-80% of custody assets. ICE is the clearest beneficiary of platform network effects, while custodian banks like BNY and State Street gain operational efficiencies but risk ceding pricing power, and middleware providers Broadridge and SS&C face long-term displacement risk.
ICEBKNTRSWhich ETF issuers benefit most from custody fee compression as servicing competition intensifies?
Custody fee compression driven by intensifying competition among ETF servicers — including Northern Trust's entry into the ICE ETF Hub — creates a tailwind for large ETF issuers. Invesco (IVZ) and BlackRock (BLK) benefit most from their scale and operating leverage, while custodians BNY Mellon (BK) and State Street (STT) face margin pressure offset partly by productivity gains and innovation.
BLKIVZNTRSDoes Northern Trust joining ICE ETF Hub threaten BNY Mellon's ETF servicing share or validate the platform?
Northern Trust joining ICE's ETF Hub validates the platform's role as essential ETF infrastructure rather than directly threatening BNY Mellon's dominant servicing position. ICE is the clearest structural winner as the platform operator, while BNY's scale and technology moat remain intact; NTRS gains a necessary tool to compete but must still prove it can win mandates.
ICEBKNTRSDoes Northern Trust's Technology Wedge Change the Long-Term Fee Economics of ETF Custody for All Three Players?
Northern Trust's technology investments in ETF custody automation create a pricing wedge that could accelerate fee compression across the custodian oligopoly — but FY2025 revenue declines at NTRS suggest the transition is costly before it is rewarding. State Street's SPDR franchise and BNY Mellon's scale keep both incumbents better positioned than valuations suggest, while ICE's 38.7% EBIT margin illustrates that the most durable pricing power in the ETF ecosystem sits in index and data infrastructure, not custody.
NTRSBNYICEHow Much Fee Compression Can BNY and State Street Absorb Before ETF Custody Margins Turn Negative?
BNY Mellon, State Street, and Northern Trust face accelerating ETF custody fee compression, with Northern Trust already showing TTM revenue contraction of -9.9% and the thinnest operating margin (16.3%) of the three. BNY Mellon's scale and operating leverage make it most resilient to further fee cuts, while State Street's SPDR dual role provides a partial floor. A 20% industry-wide fee cut scenario would stress Northern Trust's margins most severely, though no player reaches negative territory immediately.
BKNTRSHow Much of BNY and State Street's AUC Revenue Is Exposed to Northern Trust's Technology-Led Custody Push?
Northern Trust's technology-led push into ETF servicing poses a bounded but real threat to BNY Mellon and State Street, with State Street more exposed due to its custody-concentrated revenue model and -5.8% TTM revenue decline. BNY Mellon's diversification across clearing and treasury services limits its blast radius, while Northern Trust's own -9.9% revenue contraction signals a multiyear buildout that has yet to translate into top-line wins.
BKNTRSCan Northern Trust's ICE ETF Hub Partnership Structurally Erode BNY and State Street's Pricing Power?
Northern Trust's partnership with ICE ETF Hub introduces a credible third competitor into a custody market long dominated by BNY Mellon and State Street, with the most consequential risk being gradual pricing pressure on incumbents rather than near-term asset flight. ICE is the structural winner from any intensification of the ETF servicing arms race, while State Street faces the most acute risk as both a servicer and ETF issuer with declining revenues on both fronts.
BKNTRSICEWhich Emerging ETF Issuers Are Most Likely to Switch Custodians as Northern Trust Offers a Credible Alternative?
Northern Trust's entry into ETF custody and administration is cracking open a market long dominated by BNY Mellon and State Street. NTRS is the clearest beneficiary as a credible challenger, State Street is the most structurally exposed incumbent due to its dual role as custodian and rival ETF issuer, and Invesco — a cost-conscious mid-size ETF manager — is the most likely major issuer to explore switching.
NTRSBKIVZ
State Street Corporation company profile
Overview
State Street Corporation (NYSE:STT) is one of the world's largest financial services companies, founded in 1792 and headquartered in Boston, Massachusetts. Originally established as a commercial bank, State Street has evolved into a global financial services giant specializing in investment servicing, asset management, and financial market infrastructure. The company serves institutional investors worldwide, including mutual funds, pension plans, insurance companies, foundations, and endowments, managing and servicing trillions of dollars in assets across 32 countries.
Business
State Street operates as a comprehensive financial services provider focused on institutional clients, with three primary business segments that collectively generated $12.9 billion in revenue in 2024: Investment Services represents the company's largest business segment, providing custody and administration services for institutional assets. This includes safekeeping securities, processing transactions, maintaining records, and providing daily pricing and valuation services for investment portfolios. The company serves as a custodian for approximately $43.9 trillion in assets under custody and administration (AUC/A), making it one of the world's largest custodial banks. This segment also includes the Alpha platform, State Street's proprietary front-office technology solution that provides portfolio management, risk analytics, and compliance tools to institutional investment managers. Global Advisors (SSGA) is the company's asset management arm, managing $4.4 trillion in assets under management (AUM) as of 2024. This division is best known for its SPDR ETF brand, which includes some of the world's largest exchange-traded funds. SSGA offers various investment strategies including index funds, active management, and alternative investments. The ETF business alone manages $256 billion in assets and captured 21% of global ETF flows in recent quarters. Markets and Financing provides foreign exchange trading, securities lending, and financing services to institutional clients. This includes facilitating currency transactions for global investment flows and providing short-term financing through securities lending programs. The company also offers data and analytics services through its front-office software solutions. The Investment Services segment typically accounts for approximately 60-65% of total fee revenue, Global Advisors represents about 25-30%, and Markets and Financing comprises the remaining 10-15% of fee-based revenues.
Revenue model
State Street generates revenue through multiple fee-based and interest-based streams, creating a diversified business model: Fee-Based Revenue constitutes the majority of income and includes servicing fees charged as a percentage of assets under custody (typically 2-8 basis points annually), management fees from the Global Advisors business (ranging from 3-75 basis points depending on the product), and transaction-based fees from foreign exchange trading and securities lending. The company also generates software licensing fees from its Alpha platform and other technology solutions. Net Interest Income (NII) is earned by investing client deposits and cash balances in securities and loans. When interest rates rise, State Street benefits from higher yields on its investment portfolio while often paying lower rates on client deposits. The company maintained $116 billion in cash and short-term investments as of 2024, providing significant interest rate sensitivity. State Street's clients are primarily large institutional investors including pension funds, mutual fund companies, insurance companies, sovereign wealth funds, and investment managers. These clients pay for custody services, asset management, and various support services essential to their operations. The company's margins are influenced by several key factors. Rising interest rates generally improve profitability through higher net interest income, while market volatility can both help (through increased trading volumes) and hurt (through lower asset values reducing fee income). Regulatory changes in financial services can increase compliance costs, while competition from fintech companies and other custodial banks creates pricing pressure. The company's operational leverage means that revenue growth typically translates to higher margins since many costs are relatively fixed, making asset growth and market performance key drivers of profitability.
Competitive moat
State Street possesses a strong but not impenetrable moat built primarily on scale, switching costs, and regulatory barriers. The custody business benefits from enormous economies of scale - the infrastructure required to safeguard and process trillions of dollars in assets creates significant barriers to entry. Once institutional clients establish custody relationships, switching costs are substantial due to the complexity of transferring assets, operational integration, and regulatory requirements. The company's network effects strengthen its position as it becomes more valuable to clients when it services more assets globally, enabling better foreign exchange pricing and securities lending opportunities. State Street's regulatory compliance infrastructure, built over decades, represents another defensive barrier as new entrants must invest heavily in meeting global financial regulations. However, the moat faces several challenges. Technology disruption poses the most significant threat, as fintech companies and blockchain-based solutions could potentially streamline custody and settlement processes. Pricing pressure from competitors, particularly in passive asset management through ETFs, continues to compress margins. Large investment managers are also building more capabilities in-house, potentially reducing demand for outsourced services. The Alpha platform represents State Street's attempt to strengthen its moat by providing integrated front-office technology, but this faces competition from established players like BlackRock's Aladdin system. While State Street's scale and client relationships provide defensive advantages, the company must continue investing in technology and innovation to maintain its competitive position against both traditional competitors and emerging fintech disruptors.
Risks & safety
State Street demonstrates a moderate margin of safety with solid financial fundamentals but some inherent risks from its financial services business model: • Solvency and Liquidity: Strong capital position with $26.6 billion in shareholders' equity and regulatory capital ratios well above requirements. However, the company carries $346 billion in total liabilities against $373 billion in assets, reflecting the nature of custody banking operations. • Cash Generation: Positive free cash flow of $2.2 billion in Q1 2025, though this can be volatile due to the nature of financial services operations. Operating cash flow was $2.4 billion in the most recent quarter. • Debt Management: Debt-to-equity ratio of 1.37, which is typical for financial services companies but indicates moderate leverage. The company maintains investment-grade credit ratings. • Valuation Metrics: Trading at reasonable multiples with P/E ratio of 10.0 and price-to-book ratio of 0.97, suggesting the stock is not overvalued relative to historical norms. • Capital Returns: Company targets returning approximately 80% of earnings to shareholders through dividends and buybacks, indicating confidence in cash generation and capital management. • Interest Rate Sensitivity: Significant exposure to interest rate changes through net interest income, which can be both an opportunity and risk depending on rate environment and deposit behavior.
Recent development
Over the past few years, State Street has undergone significant strategic transformation focused on technology modernization and business model evolution. The company's most significant initiative has been the development and deployment of the Alpha platform, a comprehensive front-office technology solution that integrates portfolio management, risk analytics, and compliance tools. The platform has gained traction with 35 announced clients and 25 installations, with management targeting 6-8 new mandates in 2025. The company has aggressively expanded its ETF and passive investment offerings through Global Advisors, launching approximately 60 new products in 2024, mostly ETFs. This includes innovative products such as digital asset-focused ETFs and strategic partnerships like the one announced with Apollo Global Management. The SPDR ETF business has achieved record assets of $256 billion and captured significant market share in global ETF flows. Operational efficiency improvements have been a major focus, including the consolidation of operations joint ventures in India and multi-year productivity initiatives. The company has invested heavily in artificial intelligence and machine learning applications, currently using these technologies in fund accounting and exploring applications in client service and HR functions. State Street has also strategically positioned itself in the growing private markets and alternative investments space, with loan portfolio growth of 14% focused on alternative and private market clients. The company sees significant opportunities aligned with the growth of private market investments and has tailored its Alpha platform to serve this expanding market segment.
STT company profile · for informational purposes only — not investment advice.
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