The brokerage, which set a $73 price target for the asset management firm, said it sees significant upside risks to the stock. Consensus EPS estimates for 2026.
Wolf added that the consensus currently points to a significant increase in earnings per share, with earnings per share in 2025 and 2026 growing by 10% and 15%, respectively.
“This is in stark contrast to Wolf’s own estimates with a combination of net interest income headwinds, weaker fee growth algorithm, modest expense growth, and lower excess capital/repurchase capacity,” the analysts said, adding that Wolf sees less valuation support that underpins his downgrade of the company.
Looking at Seeking Alpha’s quantitative ratings, the company has a Hold rating, which is in line with the ratings of Seeking Alpha and Wall Street analysts.
The company’s shares fell 0.30% to $73.50 during early market hours Monday.
State Street is scheduled to report its second-quarter financial results on July 16.
