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Investing.com - Wolfe Research upgraded Northern Trust (NASDAQ:NTRS), a $24.17 billion financial services company, from Underperform to Peerperform on Thursday. According to InvestingPro data, the stock has delivered an impressive 48.1% return over the past year, with six analysts recently revising their earnings estimates upward.
The upgrade follows Northern Trust’s second-quarter earnings report, with Wolfe Research citing a more constructive outlook for the financial services company.
Wolfe Research highlighted management’s reiterated commitment to remaining independent, noting the firm is not entertaining any merger talks while also committing to medium-term financial targets and improving business metrics.
The research firm outlined two favorable scenarios for Northern Trust shares: either the company meets its medium-term targets, which could support double-digit upside to consensus through 2027, or it falls short of targets, potentially intensifying merger pressure and benefiting shares through higher takeout premiums.
Wolfe Research concluded that these considerations create a "modestly positive risk/reward skew" for Northern Trust, supporting the upgrade to Peerperform.
In other recent news, Northern Trust Corporation reported better-than-expected financial results for the second quarter of 2025. The company achieved earnings per share of $2.13, surpassing the forecasted $2.05. Additionally, Northern Trust’s revenue reached $2 billion, exceeding the anticipated $1.96 billion. These results reflect a positive performance for the quarter. Despite the strong earnings and revenue figures, the company’s stock experienced a decline, indicating varied reactions among investors. No other major developments, such as mergers or acquisitions, were reported. Analyst firms have not recently issued any upgrades or downgrades for Northern Trust. These developments provide a snapshot of Northern Trust’s recent financial health.
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