SweetValueLab
Write for us

State Street — bank health check

STT
Custody & trustAssets $403.3B4-quarter TTM
Close · Oct 16, 2026165.72P/E 13.5 · yield 2.1%
P/TBV2.33×TBVPS 71.08
Line · r 10%2.22×range 1.95–2.59×
+5% premiumP/TBV ÷ line − 1
Fed funds · last FOMC3.75–4.00%Sep 16, 2026 · +25bp
UST 3m · 2y · 10y · Oct 16, 20264.26 · 4.74 · 5.0910y−2y +0.35 · 10y−3m +0.83
KBE · YTD+4.8%1D +0.1% · 1Y +15.5% · 5Y +15%
KRE · YTD+7.7%1D +0.1% · 1Y +20.1% · 5Y −1%
SPY · YTD+11.9%1D −1.1% · 1Y +15.5% · 5Y +71%
Prices as ofOct 16, 2026Financials TTM through Sep 30, 2026

Valuation range

the line at three costs of equity
r 11% · 1.95×r 9% · 2.59×now 2.33×
0.0×1.0×2.0×3.0×4.0×

At r = 10% the line gives 2.22× for a 18.6% ROTCE; the market pays 2.33×, a 5% premium to the line.

Where it has traded

quarter-end P/TBV · 20 quarters · Dec 31, 2021 → Sep 30, 2026
1.00×1.63×2.25×2.88×3.50×2021202220232024202520262021-12-31 · 2.17× (close 93.00 · TBVPS 42.91)2022-03-31 · 2.17× (close 87.12 · TBVPS 40.11)2022-06-30 · 1.56× (close 61.65 · TBVPS 39.43)2022-09-30 · 1.54× (close 60.81 · TBVPS 39.61)2022-12-31 · 1.99× (close 77.57 · TBVPS 38.95)2023-03-31 · 1.90× (close 75.69 · TBVPS 39.80)2023-06-30 · 1.84× (close 73.18 · TBVPS 39.72)2023-09-30 · 1.66× (close 66.96 · TBVPS 40.32)2023-12-31 · 1.87× (close 77.46 · TBVPS 41.53)2024-03-31 · 1.80× (close 77.32 · TBVPS 42.90)2024-06-30 · 1.69× (close 74.00 · TBVPS 43.75)2024-09-30 · 1.91× (close 88.47 · TBVPS 46.42)2024-12-31 · 2.12× (close 98.15 · TBVPS 46.32)2025-03-31 · 1.83× (close 89.53 · TBVPS 48.93)2025-06-30 · 2.08× (close 106.34 · TBVPS 51.00)2025-09-30 · 2.15× (close 116.01 · TBVPS 53.94)2025-12-31 · 2.45× (close 129.01 · TBVPS 52.55)2026-03-31 · 2.36× (close 126.56 · TBVPS 53.70)2026-06-30 · 3.04× (close 169.60 · TBVPS 55.81)2026-09-30 · 2.46× (close 174.59 · TBVPS 71.08)p75 2.17×med 1.95×p25 1.82×now 2.33×
Five-year median 1.95×, middle half 1.82–2.17×, range 1.54–3.04×. Now 2.33×: +20% above its own median, higher than 80% of those quarters.Each quarter priced at its own TBVPS · the band is the 25th–75th percentile

Where the money goes

TTM through Sep 30, 2026 · $B
051015Interest income: 11.2 $B11.2InterestincomeInterest expense: −7.8 $B−7.8InterestexpenseNII: 3.4 $B3.4NIINon-interest income: 12.1 $B12.1Non-interestincomeNet revenue: 15.5 $B15.5NetrevenueOperating expenses: −10.8 $B−10.8OperatingexpensesProvision: −0.0 $B−0.0ProvisionPre-tax: 4.7 $B4.7Pre-taxTax: −1.0 $B−1.0TaxNet income: 3.7 $B3.7Netincome
assets $403.3B ÷ TCE $19.9B = 20.3× leverage · ROA 0.91% × 20.3 = ROTCE 18.6%

Revenue mix

NII vs. non-interest income · Custody & trust peers (2)
STT22 / 78
Tier average26 / 74

Efficiency 69.8% vs. tier 63.2% · ROTCE 18.6% vs. 22.3% · credit cost 0.1% vs. -0.3% · AOCI/TCE −8.2% vs. −13.5%.

Quarter by quarter

8 quarters · Dec 31, 2024 → Sep 30, 2026 · a gap is a dropped quarter
NII, $B0.9
Provision, $B−0.00
Efficiency65.4%
AOCI / TCE−8.2%