State Street Earnings: STT Stock Ticks Lower Despite Better-Than-Expected Q1

State Street (NYSE:STT) earnings for first quarter of 2020 have STT stock down on Friday. This despite it reporting diluted earnings per share (EPS) of $1.62, which is better than Wall Street’s estimate of $1.35. The financial services company’s revenue of $3.07 billion also comes in above analysts’ estimates of $2.9 billion.

State Street Earnings: STT Stock Ticks Lower Despite Better-Than-Expected Q1

Source: EyeofPaul/

Now, let’s take a more thorough look at the most recent State Street earnings report.

  • Diluted per-share earnings are up 30.65% from $1.24 during the first quarter of 2019.
  • Revenue is sitting 4.78% higher than the $2.93 billion reported in the same period of the year prior.
  • The State Street earnings report also includes a net income of $634 million.
  • That’s a 24.8% increase over the $508 million in net income reported for the same time last year.

Ron O’Hanley, chairman and CEO of State Street, said this about the STT stock earnings:

“While our first quarter results were somewhat impacted by the COVID-19 pandemic, our overall strong year-over-year performance reflects the strength, diversity and durability of our business model. Compared to 4Q19, market valuations and client flows impacted servicing and management fees, offset by significant client activity, with heightened volatility levels driving strong fee revenue growth in our foreign exchange trading services business.”

The State Street report doesn’t include an outlook for 2020. Nevertheless, we know what Wall Street expects. That includes a diluted EPS of $5.27 on revenue of $11.06 billion.

STT stock was down slightly as of Friday afternoon.

As of this writing, William White did not hold a position in any of the aforementioned securities.

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