Northern Trust Corporation (NTRS): Today's Featured Financial Services Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Northern Trust Corporation ( NTRS) pushed the Financial Services industry lower today making it today's featured Financial Services laggard. The industry as a whole was unchanged today. By the end of trading, Northern Trust Corporation fell 64 cents (-1.2%) to $54.55 on heavy volume. Throughout the day, 2.3 million shares of Northern Trust Corporation exchanged hands as compared to its average daily volume of 1.3 million shares. The stock ranged in price between $54.50-$55.50 after having opened the day at $55.27 as compared to the previous trading day's close of $55.19. Other companies within the Financial Services industry that declined today were: Carlyle Group ( CG), down 7%, GAIN Capital Holdings ( GCAP), down 5.7%, Siebert Financial Corporation ( SIEB), down 5.4%, and CIFC ( DFR), down 5.2%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Northern Trust Corporation, through its subsidiaries, provides asset servicing, fund administration, asset management, and fiduciary and banking solutions for corporations, institutions, families, and individuals worldwide. Northern Trust Corporation has a market cap of $13.12 billion and is part of the financial sector. The company has a P/E ratio of 19.5, above the S&P 500 P/E ratio of 17.7. Shares are up 10% year to date as of the close of trading on Thursday. Currently there is one analyst that rates Northern Trust Corporation a buy, two analysts rate it a sell, and 13 rate it a hold.

TheStreet Ratings rates Northern Trust Corporation as a buy. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, expanding profit margins, solid stock price performance, notable return on equity and increase in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the positive front, MicroFinancial ( MFI), up 10.8%, Pzena Investment Management ( PZN), up 9.3%, Millennium India Acquisition Corporation ( SMCG), up 7.1%, and Global Cash Access Holdings ( GCA), up 6%, were all gainers within the financial services industry with Morgan Stanley ( MS) being today's featured financial services industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the financial services industry could consider Financial Select Sector SPDR ( XLF) while those bearish on the financial services industry could consider Proshares Short Financials ( SEF).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.
null

If you liked this article you might like

14 Bank Stocks That Will Either Surge or Do Nothing

Northern Trust Hits New Highs, New Resistance

The S&P 500 Companies With the Most Diverse Boards

Here's Why This Rally Is Sustainable: Cramer's 'Mad Money' Recap (Tuesday 1/24/17)

Chesapeake Energy, Comcast, Citigroup: 'Mad Money' Lightning Round