Valued at a market cap of $28 billion, State Street Corporation (STT) is a prominent American financial services and bank holding company headquartered at One Congress Street in Boston, Massachusetts. With operations in over 100 geographic markets, State Street serves a diverse clientele, including asset managers, insurance companies, pension funds, and central banks. 

Shares of this financial services company have outpaced the broader market over the past 52 weeks. STT has rallied 26.6% over this time frame, while the broader S&P 500 Index ($SPX) has gained 12.5%. However, on a YTD basis, the stock is up marginally, slightly lagging behind SPX’s 1.3% rise. 

Shifting to a sector-specific lens, State Street has outperformed the Financial Select Sector SPDR Fund’s (XLF) 22.3% return over the past 52 weeks but has underperformed XLF’s 6.8% gain on a YTD basis. 

State Street kicked off 2025 with a strong Q1 performance, announced on April 17, sending shares up 2.1%. The firm posted a remarkable 39% increase in net income to $644 million and a 49% jump in EPS to $2.04, beating market expectations. This strong momentum was supported by solid fee revenue growth, thanks to increased management fees and a surge in foreign exchange trading activity, lifting total revenue to $3.28 billion.

For the current fiscal year, ending in December, analysts expect STT’s EPS to grow 7.3% year over year to $9.30. The company’s earnings surprise history is promising. It beat the Wall Street estimates in each of the last four quarters. 

Among the 18 analysts covering the stock, the consensus rating is a “Moderate Buy,” which is based on seven “Strong Buy,” three “Moderate Buy,” seven “Hold,” and one “Moderate Sell” rating.

This configuration is slightly less bullish than two months ago, with eight analysts suggesting a “Strong Buy” rating. 

On April 24, Keefe, Bruyette & Woods analyst David Konrad reaffirmed his “Outperform” rating on State Street but revised the price target downward from $118 to $113.

The mean price target of $102.88 represents a 4.7% upside from State Street’s current price levels, and the Street-high price target of $120 suggests an upside potential of 22.1%.