Morgan Stanley Reiterates Buy Rating on State Street Corporation

Morgan Stanley has reiterated its buy rating for State Street Corporation (NYSE:STT), maintaining a price target of $183. This update came from analyst Betsy Graseck on June 29, 2026. The reiteration reflects Morgan Stanley's continued positive outlook on the financial services company.

Other Institutional Activity in State Street

Several institutional investors have adjusted their positions in State Street. BlackRock, Inc. trimmed its holdings by 548,572 shares, bringing its total to 24,014,429 shares valued at about $3.04 billion, a 2.2% decrease. Vanguard Capital Management LLC opened a new position with 17,653,670 shares worth approximately $2.23 billion. Similarly, Vanguard Portfolio Management LLC initiated a new stake with 16,115,256 shares valued at around $2.04 billion. Meanwhile, State Street Corp slightly increased its holdings by 29,193 shares to a total of 13,374,949 shares worth about $1.69 billion. FMR LLC reduced its position by 1,774,808 shares, ending with 11,540,627 shares valued at $1.46 billion, marking a 13.3% decrease.

State Street Corporation Stock Down 12.3%

On Monday, shares of State Street Corporation traded around $168.11. The company has a market capitalization of approximately $46.5 billion, with a P/E ratio of 17.1 and a forward P/E of 12.1. The stock's beta is 1.45, indicating higher volatility compared to the overall market. Over the past year, the stock has ranged between $101.98 and $175.46, with a 50-day moving average of $157.24 and a 200-day moving average of $131.93.

Recent Earnings

State Street reported revenue of about $14.39 billion, though it experienced a slight revenue decline of 2.8%. The company achieved a net margin of 21.3% and a return on equity of 11.3%. Investors look forward to its next earnings report, scheduled for July 16, 2026.

Dividend

State Street offers an annual dividend rate of $3.36, yielding 2.0% at the current share price. The dividend payout ratio stands at 33.3%, reflecting a conservative approach to returning capital to shareholders.

Insider Buying and Selling at State Street Corporation

Recent insider transactions at State Street include planned sales by Executive Vice President Kathryn Horgan, who sold 5,500 shares at an average price of $162.78 on June 11, 2026, and EVP and Chief Risk Officer Bradford Hu, who sold 9,212 shares at $155.35 on May 26, 2026. Chairman, CEO, and President Ronald Hanley also sold 14,553 shares at the same price on May 26, under a planned sale. Meanwhile, John Rhea and Julio Portalatin made unplanned purchases of 2,533 and 1,526 shares, respectively, on May 20, 2026.

Analysts Set New Price Targets

On June 29, 2026, Morgan Stanley maintained its buy rating on State Street with a $183 price target. Other analysts have also been active: on June 26, Truist Securities maintained a hold rating with a $176 target, while Wells Fargo and Citigroup reiterated their buy ratings with targets of $196 and $193, respectively. The consensus among 14 analysts is a buy, with an average target price of $166.32.

About State Street Corporation

State Street Corporation, headquartered in Boston, Massachusetts, provides a wide range of financial services to institutional investors. The company offers custody, accounting, and fund administration services, along with performance, risk, and compliance analytics. It also provides trading services, securities finance, and investment management solutions. State Street's State Street Alpha platform integrates portfolio management, trading, analytics, and compliance tools. Led by CEO Ronald Philip O'Hanley, the company employs over 51,500 people.

Bottom Line

Morgan Stanley's reiteration of a buy rating for State Street highlights ongoing confidence in the company's prospects. Investors track such analyst updates for insights into potential stock performance. It's important to remember that these ratings are based on past data and projections, and actual performance may vary.