Market Pulse Archives

Jan. 20, 2021, 12:04 p.m. EST

Bank of New York Mellon's stock drops to lead S&P 500 losers after profit miss

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Bank of New York Mellon Corp. (BK)
  • X
    S&P 500 Index (SPX)
  • X
    Financial Select Sector SPDR ETF (XLF)

or Cancel Already have a watchlist? Log In

By Tomi Kilgore

Shares of Bank of New York Mellon Corp. /zigman2/quotes/200171276/composite BK +0.60% dropped 7.0% in midday trading Wednesday, enough to pace the S&P 500's /zigman2/quotes/210599714/realtime SPX +1.95% decliners, after the bank reported fourth-quarter profit that fell more than forecast as continued low interest rates hurt results. The stock was on track for the biggest one-day loss since March 16, 2020, when it plunged 14.5% as the COVID-19 pandemic weighed. The bank reported net income that fell to $702 million, or 79 cents a share, from $876 million, or 98 cents a share, in the year-ago period, missing the consensus analyst EPS estimate of 88 cents, according to FactSet. The bank said the results included $159 million, or 18 cents a share, in litigation, severance, losses on business sales and real estate charges, and a $460 million, or 50 cents a share, gain on the sale of an equity investment. Chief Executive Todd Gibbons said he expects low interest rates will be "a significant headwind" in 2021. The stock has advanced 14.9% over the past three months, while the SPDR Financial Select Sector ETF /zigman2/quotes/209660484/composite XLF +1.90% has rallied 24.3% and the S&P 500 /zigman2/quotes/210599714/realtime SPX +1.95% has gained 11.6%.

/zigman2/quotes/200171276/composite
US : U.S.: NYSE
$ 45.03
+0.27 +0.60%
Volume: 5.83M
March 5, 2021 4:02p
P/E Ratio
11.76
Dividend Yield
2.75%
Market Cap
$39.33 billion
Rev. per Employee
$346,000
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,841.94
+73.47 +1.95%
Volume: 3.33B
March 5, 2021 5:44p
loading...
/zigman2/quotes/209660484/composite
US : U.S.: NYSE Arca
$ 33.71
+0.63 +1.90%
Volume: 109.30M
March 5, 2021 8:00p
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,841.94
+73.47 +1.95%
Volume: 3.33B
March 5, 2021 5:44p
loading...

This Story has 0 Comments
Be the first to comment
More News In
Industries

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.