| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 86 | 13.3x | 17.3x | Top tier | |
Growth | 45 | 6.5% | 7.1% | Around median | |
Quality | 91 | — | — | Top tier | |
Safety | 13 | — | — | Bottom tier | |
Capital Return | 57 | 1.83% | 0.06% | Around median | |
Momentum | 77 | 39.1% | -1.6% | Top tier | |
Sentiment | 83 | 9 | 3 | Top tier |
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Northern Trust Corporation operates through three interconnected segments: Wealth Management, Asset Servicing, and Asset Management. The company generates revenue from custody, management, investment, and fund servicing fees, alongside net interest income and capital markets activities such as foreign exchange trading and securities lending; in Q2 FY2026, trust, investment, and other servicing fees totaled $1.3 billion, while net interest income on a fully taxable-equivalent basis totaled $683 million.
In Q2 FY2026, total revenue reported in the news was $2.71 billion, up 13% year over year excluding notable items, and exceeded expectations of $2.69 billion. The company recorded net income of $792.2 million and earnings per share of $4.23, with pre-tax income of $1.1 billion and a reported margin of 39.6%. The results included a pre-tax gain of $525 million from a Visa share exchange, partially offset by a $74 million loss from securities portfolio repositioning and other charges, resulting in a positive net impact from notable items of approximately $232 million on net income.
The growth mix came from a 10% increase in trust fees, an 11% increase in net interest income, and a 69% increase in capital markets revenue year over year, compared with a 5% increase in noninterest expenses excluding notable items. Wealth Management generated $592 million in servicing fees and a pre-tax margin of 37%, while Asset Servicing recorded $757 million in fees and a reported margin of 24%, approaching 30% excluding notable items. Assets under custody and administration totaled $20 trillion, and assets under management totaled $2 trillion at the end of Q2 FY2026.
The average analyst price target is $183.17, within a range of $173 to $194, compared with the stock's 52-week range of $121.12 to $195.78; the highest target is slightly below the top of the annual range. The analyst consensus is Neutral, reflecting a balance between the raised revenue and net interest income growth outlooks of 9%–10% and the potential for slower second-half growth and normalization of capital markets revenue and nonrecurring deposits. The available information does not include a valid earnings multiple for an additional comparison.
Figures in the text are as of 2026-08-28; the live price is shown at the top of the page.
Total revenue grew 13% year over year excluding notable items, supported by a 10% increase in trust fees, an 11% increase in net interest income, and a 69% increase in capital markets revenue. Net income totaled $792.2 million and earnings per share were $4.23, while reported revenue of $2.71 billion exceeded expectations of $2.69 billion. The results included a pre-tax gain of $525 million from a Visa share exchange, so this nonrecurring impact should be separated from growth in the core operations.
Wealth Management generated $592 million in servicing fees in Q2 FY2026, up 10% year over year, and its pre-tax income totaled $334 million with a 37% margin. Wealth Management client assets under management reached $534 billion, up 14% year over year, while Global Family Office revenue increased by 9% in the first half of FY2026. Family Office Solutions and clients with more than $100 million support growth, but billing timing and less frequent valuations of alternative assets may cause quarterly fee volatility.
Automated analysis for informational purposes only — not investment advice.
Asset Servicing client assets under custody and administration totaled $18.6 trillion at the end of Q2 FY2026, up 10% year over year, while Asset Servicing fees rose 9% to $757 million. Assets under administration in alternative structures exceeded $1 trillion, and the company added two semi-liquid mandates, while Complete FX and Integrated Trading Solutions revenue grew by approximately 50% year over year. At NTAM, ETFs recorded their fifth quarter of positive flows, while liquidity achieved a record quarter within a streak that extended to 14 consecutive quarters.
Management raised its total revenue growth outlook to 9%–10% year over year from mid-single-digit growth. It also raised its net interest income growth outlook to 9%–10% and targeted approximately 400 basis points of positive operating leverage excluding notable items. This outlook assumes stable markets and interest rates, with implied revenue growth of approximately 5%–7% in the second half due to difficult comparisons and the normalization of certain trading activities and deposits.
Management expects some large, nonrecurring institutional deposits to recede in Q3 FY2026, alongside normalization in foreign exchange trading and securities lending after elevated levels. Short-term liquidity products face pricing pressure, while delayed Global Family Office billing and infrequent valuations of alternative assets may cause fee growth to diverge from asset growth. The quarter's results also included a nonrecurring pre-tax Visa gain of $525 million and a $62 million charge on a discontinued portion of a fund administration infrastructure project.