The Bank of New York Mellon Cor (BNY)
Financial Services · NYQ · US
Fundamentals
Valuation and ratings
The Bank of New York Mellon Cor trades at USD160.86, which is 103% below the USD326.10 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 56 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 19.2 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About The Bank of New York Mellon Cor
The Bank of New York Mellon Corporation provides a range of financial products and services in the United States and internationally. It operates through Securities Services, Market and Wealth Services, Investment and Wealth Management, and Other segments. The Securities Services segment offers custody, trust and depositary, accounting, exchange-traded funds, middle-office solutions, transfer agency, services for private equity and real estate funds, foreign exchange, securities lending, liquidity/lending services, and data analytics. This segment also provides trustee, paying agency, fiduciary, escrow and other financial, issuer, and support services for brokers and investors. The Market and Wealth Services segment offers clearing and custody, investment, wealth and retirement solutions, technology and enterprise data management, trading, and prime brokerage services. This segment also provides integrated cash management solutions, including payments, foreign exchange, liquidity management, receivables processing, payables management, and trade finance, as well as U.S. government and global clearing, and tri-party services. The Investment and Wealth Management segment offers investment management strategies, investment products distribution, investment management, custody, wealth and estate planning, private banking, investment, and information management services. The Other segment provides corporate treasury, derivative and other trading, corporate and bank-owned life insurance, tax credit investment, other corporate investment, and business exit services. The company serves central banks and sovereigns, financial institutions, asset managers, insurance companies, corporations, local authorities and high net-worth individuals, and family offices. The Bank of New York Mellon Corporation was founded in 1784 and is headquartered in New York, New York.
BNY passes 5 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Smart money ownership
5 of the funds we track reported a position in their latest SEC 13F filing. Largest first:
- Dodge & Cox, DODGE & COX$2.78B · 1.5% of book
- First Eagle, First Eagle Investment Management, LLC$1.17B · 2.0% of book
- Cliff Asness, AQR CAPITAL MANAGEMENT LLC$503.35M · 0.2% of book
- Parnassus Investments, PARNASSUS INVESTMENTS, LLC$273.72M · 0.8% of book
- Ken Griffin, CITADEL ADVISORS LLC$227.22M · 0.0% of book
A word of warning on reading these figures: a 13F reports the market value of a holding, so a fund that traded nothing at all still appears to have sold when the price fell. We found 102 companies where the standard reading gives the opposite answer. Only the share count is honest.
Common questions
Is The Bank of New York Mellon Cor (BNY) undervalued?
Against our discounted cash flow estimate of USD326.10, BNY at USD160.86 is 103% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
Which funds own BNY?
5 of the institutions we track reported a position in BNY in their most recent SEC 13F filing. A 13F is filed up to 45 days after quarter end, so it tells you what a fund held then, not what it holds now.
What is BNY's P/E ratio?
BNY trades at 19.2 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
The full research page for BNY, with financial statements, ownership detail, peer comparison and alerts, is free inside the app.
Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.