NORTHERN TRUST CORP (NTRS) Stock Fundamental Analysis
USA - NASDAQ:NTRS - US6658591044 - Common Stock
128.36 USD
+0.17 (+0.13%)
NTRS gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. NTRS may be in some trouble as it scores bad on both profitability and health. NTRS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year NTRS was profitable.
NTRS had a positive operating cash flow in the past year.
NTRS had positive earnings in each of the past 5 years.
NTRS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
NTRS's Return On Assets of 0.98% is on the low side compared to the rest of the industry. NTRS is outperformed by 66.24% of its industry peers.
With a decent Return On Equity value of 13.03%, NTRS is doing good in the industry, outperforming 69.62% of the companies in the same industry.
NTRS's Return On Invested Capital of 1.01% is on the low side compared to the rest of the industry. NTRS is outperformed by 69.20% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NTRS is significantly below the industry average of 7.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.98% | ||
| ROE | 13.03% | ||
| ROIC | 1.01% |
ROA(3y)0.93%
ROA(5y)0.86%
ROE(3y)11.89%
ROE(5y)11.57%
ROIC(3y)1.06%
ROIC(5y)0.96%
1.3 Margins
NTRS has a Profit Margin (11.98%) which is in line with its industry peers.
NTRS's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 16.30%, NTRS is doing worse than 62.45% of the companies in the same industry.
In the last couple of years the Operating Margin of NTRS has declined.
NTRS's Gross Margin of 56.19% is fine compared to the rest of the industry. NTRS outperforms 67.93% of its industry peers.
NTRS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.3% | ||
| PM (TTM) | 11.98% | ||
| GM | 56.19% |
OM growth 3Y-16.14%
OM growth 5Y-8.62%
PM growth 3Y-17.54%
PM growth 5Y-9.62%
GM growth 3Y-18.4%
GM growth 5Y-9.82%
2. Health
2.1 Basic Checks
Compared to 1 year ago, NTRS has less shares outstanding
NTRS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for NTRS is higher compared to a year ago.
2.2 Solvency
NTRS has an Altman-Z score of -0.63. This is a bad value and indicates that NTRS is not financially healthy and even has some risk of bankruptcy.
NTRS has a worse Altman-Z score (-0.63) than 81.01% of its industry peers.
NTRS has a debt to FCF ratio of 87.39. This is a negative value and a sign of low solvency as NTRS would need 87.39 years to pay back of all of its debts.
With a Debt to FCF ratio value of 87.39, NTRS perfoms like the industry average, outperforming 43.88% of the companies in the same industry.
NTRS has a Debt/Equity ratio of 11.95. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 11.95, NTRS is not doing good in the industry: 91.14% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 11.95 | ||
| Debt/FCF | 87.39 | ||
| Altman-Z | -0.63 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.04 indicates that NTRS may have some problems paying its short term obligations.
NTRS has a worse Current ratio (0.04) than 95.78% of its industry peers.
A Quick Ratio of 0.04 indicates that NTRS may have some problems paying its short term obligations.
The Quick ratio of NTRS (0.04) is worse than 95.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 |
3. Growth
3.1 Past
NTRS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.35%, which is quite impressive.
NTRS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.76% yearly.
NTRS shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -16.36%.
The Revenue has been growing by 18.02% on average over the past years. This is quite good.
EPS 1Y (TTM)24.35%
EPS 3Y2.26%
EPS 5Y2.76%
EPS Q2Q%16.24%
Revenue 1Y (TTM)-16.36%
Revenue growth 3Y33.14%
Revenue growth 5Y18.02%
Sales Q2Q%6.47%
3.2 Future
Based on estimates for the next years, NTRS will show a small growth in Earnings Per Share. The EPS will grow by 7.66% on average per year.
NTRS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.48% yearly.
EPS Next Y13.59%
EPS Next 2Y10.68%
EPS Next 3Y10.1%
EPS Next 5Y7.66%
Revenue Next Year4.62%
Revenue Next 2Y4.19%
Revenue Next 3Y4.35%
Revenue Next 5Y3.48%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NTRS is valuated correctly with a Price/Earnings ratio of 14.96.
NTRS's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 26.13. NTRS is valued slightly cheaper when compared to this.
NTRS is valuated correctly with a Price/Forward Earnings ratio of 13.61.
NTRS's Price/Forward Earnings ratio is in line with the industry average.
NTRS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.96 | ||
| Fwd PE | 13.61 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NTRS is valued cheaper than 88.19% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NTRS indicates a somewhat cheap valuation: NTRS is cheaper than 65.82% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.95 | ||
| EV/EBITDA | 8.86 |
4.3 Compensation for Growth
NTRS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.1
PEG (5Y)5.42
EPS Next 2Y10.68%
EPS Next 3Y10.1%
5. Dividend
5.1 Amount
NTRS has a Yearly Dividend Yield of 2.52%. Purely for dividend investing, there may be better candidates out there.
NTRS's Dividend Yield is comparable with the industry average which is at 8.57.
Compared to an average S&P500 Dividend Yield of 2.39, NTRS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.52% |
5.2 History
The dividend of NTRS has a limited annual growth rate of 3.64%.
NTRS has been paying a dividend for at least 10 years, so it has a reliable track record.
NTRS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.64%
Div Incr Years0
Div Non Decr Years25
5.3 Sustainability
NTRS pays out 37.49% of its income as dividend. This is a sustainable payout ratio.
NTRS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP37.49%
EPS Next 2Y10.68%
EPS Next 3Y10.1%
NASDAQ:NTRS (11/6/2025, 3:56:55 PM)
128.36
+0.17 (+0.13%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners88.38%
Inst Owner Change-0.79%
Ins Owners0.84%
Ins Owner Change-1.49%
Market Cap24.55B
Revenue(TTM)12.28B
Net Income(TTM)1.68B
Analysts56.19
Price Target137.77 (7.33%)
Short Float %1.33%
Short Ratio2.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.52% |
Yearly Dividend3.21
Dividend Growth(5Y)3.64%
DP37.49%
Div Incr Years0
Div Non Decr Years25
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.33%
Min EPS beat(2)0.77%
Max EPS beat(2)1.89%
EPS beat(4)4
Avg EPS beat(4)5.82%
Min EPS beat(4)0.77%
Max EPS beat(4)10.78%
EPS beat(8)6
Avg EPS beat(8)5.68%
EPS beat(12)6
Avg EPS beat(12)-2.3%
EPS beat(16)9
Avg EPS beat(16)-1.13%
Revenue beat(2)1
Avg Revenue beat(2)-0.37%
Min Revenue beat(2)-2.11%
Max Revenue beat(2)1.37%
Revenue beat(4)1
Avg Revenue beat(4)-0.93%
Min Revenue beat(4)-2.43%
Max Revenue beat(4)1.37%
Revenue beat(8)2
Avg Revenue beat(8)-3.01%
Revenue beat(12)4
Avg Revenue beat(12)-0.59%
Revenue beat(16)5
Avg Revenue beat(16)-0.72%
PT rev (1m)9.33%
PT rev (3m)15.75%
EPS NQ rev (1m)1.99%
EPS NQ rev (3m)2.81%
EPS NY rev (1m)0.86%
EPS NY rev (3m)5.77%
Revenue NQ rev (1m)0.53%
Revenue NQ rev (3m)0.68%
Revenue NY rev (1m)0.2%
Revenue NY rev (3m)0.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.96 | ||
| Fwd PE | 13.61 | ||
| P/S | 1.75 | ||
| P/FCF | 13.95 | ||
| P/OCF | 9.46 | ||
| P/B | 1.91 | ||
| P/tB | 2.52 | ||
| EV/EBITDA | 8.86 |
EPS(TTM)8.58
EY6.68%
EPS(NY)9.43
Fwd EY7.35%
FCF(TTM)9.2
FCFY7.17%
OCF(TTM)13.57
OCFY10.57%
SpS73.21
BVpS67.28
TBVpS50.93
PEG (NY)1.1
PEG (5Y)5.42
Graham Number113.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.98% | ||
| ROE | 13.03% | ||
| ROCE | 9.1% | ||
| ROIC | 1.01% | ||
| ROICexc | 1.04% | ||
| ROICexgc | 1.11% | ||
| OM | 16.3% | ||
| PM (TTM) | 11.98% | ||
| GM | 56.19% | ||
| FCFM | 12.57% |
ROA(3y)0.93%
ROA(5y)0.86%
ROE(3y)11.89%
ROE(5y)11.57%
ROIC(3y)1.06%
ROIC(5y)0.96%
ROICexc(3y)1.09%
ROICexc(5y)0.98%
ROICexgc(3y)1.2%
ROICexgc(5y)1.07%
ROCE(3y)10.14%
ROCE(5y)9.75%
ROICexgc growth 3Y19.04%
ROICexgc growth 5Y4.26%
ROICexc growth 3Y17.62%
ROICexc growth 5Y3.85%
OM growth 3Y-16.14%
OM growth 5Y-8.62%
PM growth 3Y-17.54%
PM growth 5Y-9.62%
GM growth 3Y-18.4%
GM growth 5Y-9.82%
F-Score7
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 11.95 | ||
| Debt/FCF | 87.39 | ||
| Debt/EBITDA | 50.67 | ||
| Cap/Depr | 111.16% | ||
| Cap/Sales | 5.97% | ||
| Interest Coverage | 0.33 | ||
| Cash Conversion | 85.55% | ||
| Profit Quality | 104.9% | ||
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 | ||
| Altman-Z | -0.63 |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)113.73%
Cap/Depr(5y)110.62%
Cap/Sales(3y)6.87%
Cap/Sales(5y)7.55%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.35%
EPS 3Y2.26%
EPS 5Y2.76%
EPS Q2Q%16.24%
EPS Next Y13.59%
EPS Next 2Y10.68%
EPS Next 3Y10.1%
EPS Next 5Y7.66%
Revenue 1Y (TTM)-16.36%
Revenue growth 3Y33.14%
Revenue growth 5Y18.02%
Sales Q2Q%6.47%
Revenue Next Year4.62%
Revenue Next 2Y4.19%
Revenue Next 3Y4.35%
Revenue Next 5Y3.48%
EBIT growth 1Y-1.07%
EBIT growth 3Y11.65%
EBIT growth 5Y7.85%
EBIT Next Year-6.97%
EBIT Next 3Y0.82%
EBIT Next 5YN/A
FCF growth 1Y-23.02%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-13.25%
OCF growth 3YN/A
OCF growth 5YN/A
NORTHERN TRUST CORP / NTRS FAQ
What is the ChartMill fundamental rating of NORTHERN TRUST CORP (NTRS) stock?
ChartMill assigns a fundamental rating of 3 / 10 to NTRS.
What is the valuation status of NORTHERN TRUST CORP (NTRS) stock?
ChartMill assigns a valuation rating of 5 / 10 to NORTHERN TRUST CORP (NTRS). This can be considered as Fairly Valued.
How profitable is NORTHERN TRUST CORP (NTRS) stock?
NORTHERN TRUST CORP (NTRS) has a profitability rating of 3 / 10.
What is the expected EPS growth for NORTHERN TRUST CORP (NTRS) stock?
The Earnings per Share (EPS) of NORTHERN TRUST CORP (NTRS) is expected to grow by 13.59% in the next year.
How sustainable is the dividend of NORTHERN TRUST CORP (NTRS) stock?
The dividend rating of NORTHERN TRUST CORP (NTRS) is 6 / 10 and the dividend payout ratio is 37.49%.