The Bank of New York Mellon Corp. (BK Stock) rallied 4.16% in a week; it announced a dividend hike of 14% to $0.42 per share. The results of the Federal Reserve’s stress test are out, and the stress capital buffer (SCB) requirement of BNY Mellon is to stay at 2.5%, equivalent to the regulatory floor. The SCB is expected to be effective from October 1, 2023, to September 30, 2024.
The Bank of New York Mellon Corp. (BK Stock) – Crypto Dreams and Financial Analysis
One of the oldest banks in the United States, BNY Mellon, announced its plans to expand its territory into the custody business for cryptocurrencies and other digital assets in October 2022. But a Staff Accounting Bulletin 121 released by the Securities and Exchange Commission requiring the custodians to record their balance sheets with the SEC could hamper the procedure.
The requirement was forced to enhance the trust and feasibility of the banks and facilitate them to scale up their digital asset custody business. The Bank of New York Mellon entered the Bitcoin market in 2021 and wished to enter the cryptocurrency business, but recent development might delay the progress.
Many institutional investors and hedge fund altered their stock position at BNY Mellon; Ritholts Wealth Management hiked its position by 10.5% in Q1 2023; the investor now owns 52,824 shares worth $2.4 Million. BK Public Employees Retirement System of Ohio also raised stakes by 0.5% in Q3 2022 and owns 436,802 shares worth $16.82 Million.
At press time, BNY Mellon’s BK Stock is trading at $44.52 with a slight gain of 0.72%. Previous close and open were at $44.20 and $44.64, respectively. The trailing twelve-month (ttm) price-to-earnings (P/E) ratio comes at $14.00, indicating the stock is fairly valued. The earnings per share (ttm) comes at $3.18.
With an average volume of 4.63 Million shares, the market cap comes to $25.132 Billion. Analysts placed a 2.45 rating for HOLD and estimated a price target at $25.12 with an upside of $17.1%. In the last 52 weeks, the price actions jumped by 579.85%, a positive sign indeed.
The last earnings were reported on April 18, 2023, where the reported revenue of $4.364 Billion failed to beat the estimated value of $4.401 Billion by 0.84%. Per March 2023 data, the revenue swelled by 10.51% to $4.34 Billion, and the revenue (ttm) came to $16.75 Billion.
The quarterly revenue growth shows a hike of 10.50%, and the revenue per share (ttm) comes at $20.69. Operating expenses gained 3.25% to $3.09 Billion, and the operating margin jumped by 26.21%. The net income is up by 26.26% to $976.00 Million, the net profit margin increased by 14.26% to $22.51, and the profit margin swelled by 16.27%.
The total cash in hand of BNY Mellon at the end of the most recent quarter (mrq) is $169.78 Billion, and the total debt is said to be $85.22 Billion. The gross profit of the bank comes at $16.34 Billion.
The Bank of New York Mellon Corp. (BK Stock) – Candle Exploration
A short-term bullish momentum, indicated by the ascending trend line, would continue if BK Share Price crosses the EMA and sustains over it. It shall then consolidate in an upward direction getting across R1. The price action may test the trend line to bounce and rally ahead.
If the price is rejected, the EMA price might face sight resistance to breakthrough S1, a piece of bad news in the market that could cause BNY Mellon to make a new low in 2023.
Disclaimer:
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/07/02/the-bank-of-new-york-mellon-corp-bk-stock-brushing-ema/