Northern Trust Corp
Exchange: NASDAQSector: Financial ServicesIndustry: Asset Management
Northern Trust Corporation is a leading provider of wealth management, asset servicing, asset management and banking services to corporations, institutions, affluent families and individuals. Founded in Chicago in 1889, Northern Trust has a global presence with offices in 24 U.S. states and Washington, D.C., and across 22 locations in Canada, Europe, the Middle East and the Asia-Pacific region. As of September 30, 2025, Northern Trust had assets under custody/administration of US$18.2 trillion, and assets under management of US$1.8 trillion. For more than 135 years, Northern Trust has earned distinction as an industry leader for exceptional service, financial expertise, integrity and innovation.
Current Price
$160.41
+0.24%GoodMoat Value
$637.53
297.4% undervaluedProfile
Valuation (TTM)
Market Cap$29.81B
P/E16.30
EV$-21.42B
P/B2.30
Shares Out185.83M
P/Sales3.56
Revenue$8.36B
EV/EBITDA-1.52
Northern Trust Corp (NTRS) Stock Analysis
GoodMoat Analysis
Northern Trust is a high-quality asset management and custody bank with a strong operational track record, but its moat appears limited based on the framework's criteria. The current valuation appears deeply undervalued according to the provided GoodMoat target, but this requires careful investigation.
Read full analysis
Northern Trust Corp operates in the financial services sector, providing asset management, asset servicing, and wealth management services primarily to institutional and affluent clients. Its business model is characterized by high-trust, mission-critical services, which suggests potential switching costs. The company demonstrates strong quality indicators, including a solid ROE of 13.4%, a high free cash flow yield of 18.0%, and consistent revenue growth of 8.2% YoY. However, applying the GoodMoat Investment Framework's Section 1, the business likely scores low on the 14-point moat scale. While it may possess elements of switching costs and niche dominance in institutional trust, it lacks the more powerful moats like network effects, proprietary data, or technology leadership that define the highest-scoring companies. According to Section 6's Decision Framework, a moat score below 5 would fail the initial 'Moat & Quality Gate,' suggesting the business lacks a durable competitive advantage, despite its operational quality. The valuation presents a significant discrepancy: the current price of $139.73 is far below the provided GoodMoat target of $637.53, implying a margin of safety well over 40%, which the framework classifies as 'Deeply Undervalued.' This extreme gap between the operational assessment and the valuation signal makes Northern Trust a compelling case for further due diligence to understand the drivers behind the target price and reconcile it with the moat analysis. Analysis based on data as of 2024-05-15.
Market Cap$29.81B
Current Price$160.41
P/E Ratio16.30
Forward P/E—
PEG Ratio0.38
EPS$8.74
Book Value$69.73
P/B Ratio2.30
NTRS Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use 15.6% FCF growth (CAGR)
Cash vs Debt
Net Cash: 47.4B
Revenue
6.1B
FY19
6.0B
FY20
6.5B
FY21
6.7B
FY22
6.7B
FY23
8.3B
FY24
8.1B
FY25
Net Income
1.5B
FY19
1.2B
FY20
1.5B
FY21
1.3B
FY22
1.1B
FY23
2.0B
FY24
1.7B
FY25
NTRS 52-Week Range
$102.75
$171.74
50-Day MA: $149.33200-Day MA: $137.22
Did you know?
Price sits at 84% of its 52-week range.
Northern Trust Corp (NTRS) Financial Summary
Northern Trust Corp (NTRS) is a Financial Services company in the Asset Management industry, listed on NASDAQ. The stock currently trades at $160.41 with a market capitalization of $29.81B.
Key valuation metrics include a P/E ratio of 16.30, price-to-book ratio of 2.30, and EPS of $8.74. The company reports a profit margin of 22.4% and return on equity of 14.4%.
NTRS Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $29.81B |
| P/E Ratio | 16.30 |
| EPS | $8.74 |
| P/B Ratio | 2.30 |
| P/S Ratio | 3.56 |
| EV/EBITDA | -1.52 |
| Dividend Yield | 1.98% |
| Profit Margin | 22.4% |
| Return on Equity | 14.4% |
| Debt/Equity | 1.27 |
NTRS Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $6.09B | $1.49B |
| FY20 | $5.98B | $1.21B |
| FY21 | $6.55B | $1.55B |
| FY22 | $6.75B | $1.34B |
| FY23 | $6.75B | $1.11B |
| FY24 | $8.29B | $2.03B |
| FY25 | $8.09B | $1.74B |
Northern Trust Corp (NTRS) Valuation
Based on GoodMoat's DCF model, Northern Trust Corp has a fair value estimate of $637.53. At the current price of $160.41, the stock appears 74.8% undervalued relative to our intrinsic value estimate.
NTRS Quality Indicators
Northern Trust Corp maintains a profit margin of 22.4% and an operating margin of 28.9%. Return on equity stands at 14.4%. Debt-to-equity ratio is 1.27.
About Northern Trust Corp
Northern Trust Corporation is a leading provider of wealth management, asset servicing, asset management and banking services to corporations, institutions, affluent families and individuals. Founded in Chicago in 1889, Northern Trust has a global presence with offices in 24 U.S. states and Washington, D.C., and across 22 locations in Canada, Europe, the Middle East and the Asia-Pacific region. As of September 30, 2025, Northern Trust had assets under custody/administration of US$18.2 trillion, and assets under management of US$1.8 trillion. For more than 135 years, Northern Trust has earned distinction as an industry leader for exceptional service, financial expertise, integrity and innovation.
NTRS Free Cash Flow
Northern Trust Corp generated $4.76B in trailing twelve-month free cash flow, representing an FCF yield of 15.97%. This strong FCF yield suggests the company generates substantial cash relative to its market value.
NTRS Shares Outstanding
Northern Trust Corp has 0.19 billion shares outstanding at a share price of $160.41, giving it a market capitalization of $29.81B.
NTRS Recent Insider Trades
Recent insider transactions at Northern Trust Corp include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| Moritz Robert Edward Jr. | BUY | 225 | $37442.25 |
| Fox David W Jr (EVP & Chief Financial Officer) | SELL | 19,987 | $3.32M |
| Bellows Clive (Co-President Asset Servicing) | SELL | 2,800 | $462056.00 |