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New York-based Bank of New York Mellon Corporation (BK) provides a range of financial products and services in the U.S. and internationally. With a market cap of $50.6 billion, BNY Mellon operates through Securities Services, Market and Wealth Services, Investment and Wealth Management, and other segments.
Companies worth $10 billion or more are generally described as "large-cap stocks," BNY Mellon fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the diversified bank industry. It holds the title of America's oldest bank in New York City.
BNY Mellon touched its all-time of $68.60 on Sep. 6 and is currently trading 1.6% below that peak. BK gained 11.2% over the past three months, outpacing the Financial Select Sector SPDR Fund’s (XLF) 7.7% gains during the same time frame.
Over the longer term, BK stock looks even more promising. BK gained 50.8% over the past 52 weeks and 29.7% in 2024, outperforming XLF’s 29.7% gains over the past year and 18.3% returns on a YTD basis.
To confirm the bullish trend, BK has been trading above its 50-day and 200-day moving averages since early November 2023 with slight fluctuations.
Shares of BNY Mellon surged 5.2% following its better-than-expected Q2 earnings release on Jul. 12. The financial giant’s revenue grew 2.1% year over year to $4.6 billion, exceeding Wall Street’s expectations by nearly 1.7%. Its net income attributable to common shareholders grew by an impressive 19.9% to $1.1 billion, while its EPS came in at $1.51, surpassing the estimates by 5.6%. BNY Mellon’s assets under management also outperformed expectations, growing 7.3% annually to $2.1 trillion.
BNY Mellon’s competitor, Bank of America Corporation (BAC), has underperformed BK. BAC gained 38.5% over the past 52 weeks and 16.7% in 2024.
Among the 17 analysts covering the BK stock, the consensus rating is a “Moderate Buy.” The mean price target of $70.69 represents a 4.7% potential upside from current price levels.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
