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Northern Trust Corporation — Intrinsic Value & Fair Price

NTRS
NASDAQFinancial ServicesAsset ManagementCIK 0000073124northerntrust.comAbout NTRS
Last close · Oct 16, 2026165.54+0.10 (+0.06%)
Market cap$30.3B
Model value · P/TBV · justified
145.81
Northern Trust closed at $165.54 — overvalued by 14% vs model.
127.58the model's range170.11

P/TBV · justified leads for a bank. From the justified price to tangible book.

Other models
56.83 – 232.12
Wall St. target
186.00 11% below
Above model, 1y
20 of 20 days

Price and model value

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What the marks mean
Daily close

Dividends

Quarterly · as of Oct 16, 2026
Yield, trailing 12 months
1.98%
Past 2 years
low 1.67%high 3.64%
Dividends per share, a year at a time
$2.80Sep ’21$2.85Sep ’22$3.00Sep ’23$3.00Sep ’24$3.05Sep ’25$3.28TTM
Dividends / earnings, FY2025
34.1%
Raised
1 years in a row
Growth, 5 yrs
3.2% a year
Last change
+10.0% · Sep 2026
Every payment, with ex-dates · latest $0.88, paid Oct 1, 2026

Research on NTRS

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How it is valued

Valued asBank
Low/slowing growth (~7% recent)High profitability (35% net margin)Pays dividendsHighly cyclical earningsStrong FCF yield (18.0%)
What growth the price implies: the reverse DCF

Key figures

FY2025 · chosen for banks
Price / tangible book
2.5×
Price / book
2.4×
Return on equity
13.4%
P/E
18.9×
Dividend yield, TTM
1.98%
Payout ratio
36.5%
On the lists: #49 Insider buying
Full financials

Analyst actions

third-party, quoted
10-06Capital One Financial · target190.00
10-01Evercore ISI · target183.00
07-23RBC Capital · “Sector Perform” from “Outperform”downgrade
07-23Morgan Stanley · target173.00
Ratings, targets and estimates

The weekly

One email a week across every stock we cover: 13F filings, insider trades, earnings and new research. It covers the whole market, not just NTRS. No account.

About Northern Trust

Northern Trust Corporation, a financial holding company established in 1889 and based in Chicago, Illinois, offers a comprehensive suite of wealth management, asset servicing, asset management, and banking solutions worldwide. Its diverse client base includes corporations, institutions, families, and individual investors. The company structures its operations across two primary segments: Asset Servicing and Wealth Management. The Asset Servicing division delivers a broad spectrum of support and operational services tailored for institutional entities. These services include custody, fund administration, outsourced investment operations, investment management, investment risk and analytical reporting, employee benefit services, securities lending, foreign exchange, treasury management, brokerage, transition management, and banking and cash management solutions. This segment serves corporate and public retirement funds, charitable foundations, endowments, investment managers, insurance companies, sovereign wealth funds, and other major institutional investors. Conversely, the Wealth Management segment is dedicated to high-net-worth individuals, families, business owners, executives, professionals, retirees, and established privately held businesses. Its offerings span trust administration, investment management, custody, philanthropic advisory, financial consulting, guardianship and estate administration, family business consulting, family financial education, brokerage services, and private and business banking. Furthermore, Northern Trust provides extensive asset management capabilities, encompassing active and passive strategies for both equity and fixed income, cash management, and alternative asset classes like private equity and hedge funds of funds. These investment products are delivered via diverse vehicles, including individually managed accounts, bank common and collective funds, registered investment companies, exchange-traded funds, non-U.S. collective investment funds, and unregistered private investment funds. The corporation also offers sophisticated overlay and other risk management services.

CEO
Michael Gerard O'Grady
Headquarters
Chicago, IL
Employees
23,800
IPO
1980-03-17
Full company profile

Model estimates for research reference only, not investment advice. Every model rests on assumptions that may not match what happens; the formulas are in how we value a stock.