Northern Trust consists of two moaty segments: wealth management and a custody business known asset servicing (previously corporate and institutional services or C&IS). Both segments are supported by the firm’s asset-management capabilities.
Northern Trust has built a strong wealth-management franchise. Its reputation and conservative capital allocation help its capture and retain ultrawealthy private banking clients. In addition, these wealth-management relationships are stickier and client AUM has less exposure to equities compared with other wealth managers.
Fee compression and lower margins in the asset-management industry will result in asset managers being more conscious of their costs, thus limiting the pricing power of custody banks.
|
Metric
|
NTRS
|
SEIC
|
|---|---|---|
Price/Earnings (Normalized) | 19.34 | 18.54 |
Price/Book Value | 2.82 | 4.88 |
Price/Sales | 4.20 | 5.27 |
Price/Cash Flow | 10.85 | 15.66 |
|
Metric
|
NTRS
|
SEIC
|
|---|---|---|
Quick Ratio | — | 4.25 |
Current Ratio | — | 4.52 |
Interest Coverage | — | 1,019.85 |
|
Metric
|
NTRS
|
SEIC
|
|---|---|---|
Return on Assets (Normalized) | 1.11% | 24.27% |
Return on Equity (Normalized) | 15.89% | 29.73% |
Return on Invested Capital (Normalized) | — | 26.83% |
|
1-Day Chart
|
Name
|
Price
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|---|
| BlackRock Inc
BLK
| LOCK|&?hQbL!Z | LOCK|%c | $166B | |||
| Blackstone Inc
BX
| LOCK|j<x%Dy | LOCK|?T | $99B | |||
| KKR & Co Inc Ordinary Shares
KKR
| LOCK|!cG$@> | LOCK|%!^% | $91B | |||
| Brookfield Asset Management Ltd Ordinary Shares - Class A
BAM
| LOCK|$Lqn^Wy | LOCK|p&d#% | $77B | |||
| Apollo Global Management Inc
APO
| LOCK|k!wf$^ | LOCK|!>R$ | $69B | |||
| State Street Corp
STT
| LOCK|h?DGLsT | LOCK|z< | $50B | |||
| Ameriprise Financial Inc
AMP
| LOCK|>qD@$q | LOCK|>m>%j | $47B | |||
| Raymond James Financial Inc
RJF
| LOCK|$>>gZ% | LOCK|#Lw@% | $33B | |||
| Ares Management Corp Ordinary Shares - Class A
ARES
| LOCK|RMq%$pB | LOCK|?Lk! | $28B |
/author-service-images-prod-us-east-1.publishing.aws.arc.pub/morningstar/5fe9ddf2-0963-4604-b5ab-86494761b179.jpg)
United States