Bank Of New York Mellon Corporation (The) (NYSE:BK) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued on Tuesday. The brokerage currently has a $61.00 target price on the bank’s stock. Zacks Investment Research‘s price objective would suggest a potential upside of 11.60% from the company’s previous close.

According to Zacks, “BNY Mellon's shares have outperformed the industry in the last six months. The performance was supported by the company’s decent earnings surprise history. It surpassed the Zacks Consensus Estimate for earnings in two of the trailing four quarters. Easing margin pressure (driven by gradual rise in interest rates), potential lesser regulations, cost-saving initiatives and rising loan demand are expected to aid profitability. Also, the company's steady capital deployment activities reflect strong capital position. However, concentration risk arising from significant dependence on fee-based income remains a matter of concern in the near term.”

A number of other research analysts have also issued reports on BK. BidaskClub upgraded Bank Of New York Mellon Corporation (The) from a “hold” rating to a “buy” rating in a research report on Tuesday, June 20th. Buckingham Research restated a “neutral” rating and issued a $57.00 price objective (up previously from $52.00) on shares of Bank Of New York Mellon Corporation (The) in a report on Monday, July 10th. Jefferies Group LLC restated a “hold” rating on shares of Bank Of New York Mellon Corporation (The) in a report on Tuesday, July 11th. Deutsche Bank AG upped their price objective on Bank Of New York Mellon Corporation (The) from $58.00 to $60.00 and gave the company a “buy” rating in a report on Friday, July 21st. Finally, Bank of America Corporation set a $52.00 price objective on Bank Of New York Mellon Corporation (The) and gave the company a “sell” rating in a report on Friday, July 21st. Two analysts have rated the stock with a sell rating, ten have assigned a hold rating, five have given a buy rating and one has assigned a strong buy rating to the stock. The stock presently has an average rating of “Hold” and an average price target of $54.81.

Bank Of New York Mellon Corporation (NYSE:BK) traded up 0.61% during midday trading on Tuesday, reaching $54.66. The company’s stock had a trading volume of 3,179,481 shares. The company’s 50-day moving average price is $52.47 and its 200-day moving average price is $50.24. Bank Of New York Mellon Corporation has a 1-year low of $38.68 and a 1-year high of $54.81. The company has a market capitalization of $56.47 billion, a price-to-earnings ratio of 16.21 and a beta of 1.15.

Bank Of New York Mellon Corporation (The) (NYSE:BK) last announced its quarterly earnings results on Thursday, July 20th. The bank reported $0.88 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $0.84 by $0.04. Bank Of New York Mellon Corporation (The) had a return on equity of 10.35% and a net margin of 23.35%. The company had revenue of $3.96 billion during the quarter, compared to analyst estimates of $3.91 billion. During the same quarter in the previous year, the firm posted $0.76 EPS. The firm’s quarterly revenue was up .4% on a year-over-year basis. On average, analysts predict that Bank Of New York Mellon Corporation will post $3.53 earnings per share for the current fiscal year.

Bank Of New York Mellon Corporation (The) announced that its Board of Directors has approved a stock repurchase plan on Wednesday, June 28th that authorizes the company to buyback $3.10 billion in shares. This buyback authorization authorizes the bank to repurchase up to 5.9% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

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In other news, Chairman Gerald L. Hassell sold 700,719 shares of the company’s stock in a transaction on Monday, August 7th. The stock was sold at an average price of $53.91, for a total transaction of $37,775,761.29. Following the completion of the sale, the chairman now directly owns 1,253,522 shares of the company’s stock, valued at $67,577,371.02. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CEO Charles W. Scharf bought 186,900 shares of Bank Of New York Mellon Corporation (The) stock in a transaction dated Tuesday, August 8th. The shares were bought at an average cost of $53.82 per share, with a total value of $10,058,958.00. Following the completion of the acquisition, the chief executive officer now owns 73,640 shares of the company’s stock, valued at $3,963,304.80. The disclosure for this purchase can be found here. Over the last ninety days, insiders have sold 10,931,137 shares of company stock valued at $581,058,723. 3.60% of the stock is currently owned by company insiders.

A number of large investors have recently bought and sold shares of BK. BlackRock Inc. raised its position in Bank Of New York Mellon Corporation (The) by 2,064.6% during the first quarter. BlackRock Inc. now owns 57,741,220 shares of the bank’s stock valued at $2,727,121,000 after buying an additional 55,073,730 shares during the period. Berkshire Hathaway Inc. raised its position in Bank Of New York Mellon Corporation (The) by 52.2% during the second quarter. Berkshire Hathaway Inc. now owns 50,229,588 shares of the bank’s stock valued at $2,562,715,000 after buying an additional 17,217,529 shares during the period. New England Asset Management Inc. raised its position in Bank Of New York Mellon Corporation (The) by 92,225.0% during the first quarter. New England Asset Management Inc. now owns 3,693,000 shares of the bank’s stock valued at $174,420,000 after buying an additional 3,689,000 shares during the period. Arrowstreet Capital Limited Partnership raised its position in Bank Of New York Mellon Corporation (The) by 1,303.6% during the second quarter. Arrowstreet Capital Limited Partnership now owns 2,624,187 shares of the bank’s stock valued at $133,886,000 after buying an additional 2,437,230 shares during the period. Finally, Capital International Investors raised its position in Bank Of New York Mellon Corporation (The) by 27.9% during the second quarter. Capital International Investors now owns 10,437,822 shares of the bank’s stock valued at $532,538,000 after buying an additional 2,275,822 shares during the period. 81.78% of the stock is currently owned by hedge funds and other institutional investors.

Bank Of New York Mellon Corporation (The) Company Profile

The Bank of New York Mellon Corporation is an investments company. The Company operates businesses through two segments: Investment Management and Investment Services. The Company also has an Other segment, which includes the leasing portfolio, corporate treasury activities (including its investment securities portfolio), derivatives and other trading, corporate and bank-owned life insurance and renewable energy investments, and business exits.

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Analyst Recommendations for Bank Of New York Mellon Corporation (The) (NYSE:BK)

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