Bank of New York Mellon Achieves Strong Growth Metrics Amid Market Gains

With a market capitalization of $62.3 billion, the Bank of New York Mellon Corporation (BK) is recognized as America’s oldest bank, located in New York City. BNY offers a range of financial services that cater to institutions, corporations, government agencies, endowments, foundations, and high-net-worth individuals globally.

Over the past year, BNY has notably outperformed the broader market. Its stock has increased by 52% in the last 52 weeks and 14.5% year-to-date (YTD), compared to the S&P 500 Index’s growth of 12.7% over the same period and a slight increase of 8 basis points in 2025.

Looking more closely, BNY has also surpassed the performance of the SPDR S&P Bank ETF (KBE), which rose by 17.4% over the past year and saw a marginal 36 basis points dip on a YTD basis.

Following the release of its strong Q1 results on April 11, BNY’s stock price increased by 1.4%. The company reported a 3% year-over-year rise in fee revenues, totaling $3.4 billion, alongside an impressive 11.4% increase in net interest income to $1.2 billion. Overall, the firm’s revenue for the quarter grew 5.9% year-over-year to $4.8 billion, beating analysts’ expectations by 1.3%. Furthermore, BNY achieved an adjusted earnings per share (EPS) growth of 22.5% year-over-year, reaching $1.58, which exceeded consensus estimates by more than 6%. The institution also reported a return on equity (ROE) of 12.6% and a return on tangibles common equity (ROTCE) of 24.2%, enhancing investor confidence.

For the fiscal year 2025, which concludes in December, analysts predict an 11.4% year-over-year growth in adjusted EPS, targeting $6.72. BNY has a history of surprising earnings, consistently exceeding bottom-line estimates for the past four quarters.

The current consensus rating for the stock is a “Moderate Buy.” Among the 17 analysts covering BNY, there are nine “Strong Buys,” three “Moderate Buys,” and five “Holds.”

This rating is somewhat less optimistic than two months ago when 10 analysts issued “Strong Buy” recommendations. On April 14, Truist Securities analyst David Smith reaffirmed a “Buy” rating for BNY but adjusted the price target down from $90 to $87.

As it stands, BNY’s average price target of $91.56 implies a modest 4.1% premium to current price levels, while the highest target of $104 indicates a potential upside of 18.3%.

On the date of publication, Aditya Sarawgi did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is intended for informational purposes only. For more details, please view the Barchart Disclosure Policy here.

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