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State Street Corp shares decline amidst market downturn

EditorRachael Rajan
Published 10/19/2023, 05:30 PM
© Pavlo Gonchar / SOPA Images/Sipa via Reuters Connect
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State Street Corp (NYSE:STT).'s shares saw a significant drop on Thursday, falling by 3.31% to $66.36 amidst a widespread market downturn. This marks a break in the company's four-day winning streak and leaves the stock $28.38 short of its February 14th high of $94.74. According to InvestingPro data, the company is currently trading at a P/E ratio of 8.91, and its market cap stands at 20.47B USD.

In comparison, State Street Corp.'s competitors experienced less severe losses in the same session. Bank of America, Morgan Stanley, and Goldman Sachs Group (NYSE:GS) saw their shares fall by 1.28%, 2.62%, and 0.92% respectively. This occurred during a session where broader market indices also faced declines, with the S&P 500 dropping by 0.85% and the Dow Jones indices falling by 0.75%.

Adding to this, trading volume for State Street Corp.'s shares saw a significant increase, reaching 3 million, well above its 50-day average of 2.1 million. This surge in trading volume indicates heightened investor interest in the company's stock amidst these market conditions. The company's shares have been quite volatile, as noted by InvestingPro Tips, which could be contributing to this heightened trading volume.

Despite the recent dip, State Street Corp. has a strong track record of financial performance. According to InvestingPro Tips, the company has raised its dividend for 12 consecutive years and has maintained dividend payments for 53 consecutive years. This is supported by the company's strong earnings, which according to InvestingPro data, have led to a revenue growth of 1.76% LTM2023.Q2.

InvestingPro Tips also highlight that the company's management has been aggressively buying back shares, indicating their confidence in the company's future. Moreover, analysts predict the company will be profitable this year, and it has been profitable over the last twelve months. For more insights like these, check out InvestingPro which offers 10 additional tips about State Street Corp. and other companies.

In terms of future prospects, the company's next earnings date is on 2023-10-18. Investors and analysts will be keenly watching this, as 6 analysts have revised their earnings upwards for the upcoming period. This, along with the company's strong dividend history and management's aggressive share buyback, makes State Street Corp. a company to watch in the coming months.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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