BK:NYSEThe Bank of New York Mellon Corporation Analysis
Data as of 2026-03-10 - not real-time
$115.10
Latest Price
5/10Risk
Risk Level: Medium
Executive Summary
The stock is trading at $115.1, just below its 20‑day SMA of $118.95 and near the identified support level of $111.71. Momentum indicators are mixed, with an RSI of 41.6 (neutral) and a bearish MACD histogram of ‑0.46, while volume has been on a decreasing trend. The market’s fear‑greed index sits at 75.9, labeled “Extreme Greed,” suggesting bullish sentiment despite the technical softness. Recent material news includes a $500 million preferred‑stock offering (Series I, 6.25% fixed‑rate reset), which expands the firm’s long‑term funding base. Analysts collectively rate the stock as Buy, with a median price target of $136, implying roughly 16% upside from the current level. The 30‑day realized volatility is high at 31.8%, reflecting notable price swings. Overall, the equity shows a neutral trend direction but is positioned near its short‑term support.
On the valuation side, BK trades at a PE of 15.6, comfortably below the industry average of 17.4, and its forward PE of 12.3 points to earnings acceleration. The dividend yield of 1.84% with a modest 27% payout ratio indicates a sustainable dividend profile. With revenue growth of 7.8%, operating margin of 37.3%, and a robust cash pile of $188 billion, the fundamentals are solid. The DCF‑derived fair value of $286.6 suggests a long‑term undervaluation, though the more conservative analyst median target of $136 still provides a healthy upside. The company’s beta of roughly 0.92 and a low debt‑to‑equity position mitigate systematic and balance‑sheet risks. Consequently, the stock is viewed as undervalued with a blend growth/value profile, making it attractive for investors with a medium‑to‑long‑term horizon.
On the valuation side, BK trades at a PE of 15.6, comfortably below the industry average of 17.4, and its forward PE of 12.3 points to earnings acceleration. The dividend yield of 1.84% with a modest 27% payout ratio indicates a sustainable dividend profile. With revenue growth of 7.8%, operating margin of 37.3%, and a robust cash pile of $188 billion, the fundamentals are solid. The DCF‑derived fair value of $286.6 suggests a long‑term undervaluation, though the more conservative analyst median target of $136 still provides a healthy upside. The company’s beta of roughly 0.92 and a low debt‑to‑equity position mitigate systematic and balance‑sheet risks. Consequently, the stock is viewed as undervalued with a blend growth/value profile, making it attractive for investors with a medium‑to‑long‑term horizon.
Market Outlook
Short Term
< 1 yearNeutral
Model confidence: 6/10
Key Factors
- Bearish MACD histogram
- Decreasing volume trend
- Price near technical support level
Medium Term
1–3 yearsPositive
Model confidence: 8/10
Key Factors
- Revenue growth of 7.8%
- Undervalued PE relative to industry
- Analyst consensus Buy with 16% upside
Long Term
> 3 yearsPositive
Model confidence: 9/10
Key Factors
- Strong cash position of $188 billion
- Sustainable dividend payout
- Long‑term funding via $500 million preferred stock issuance
Key Metrics & Analysis
Financial Health
Revenue Growth7.80%
Profit Margin27.74%
P/E Ratio15.6
ROE12.90%
ROA1.26%
P/B Ratio2.0
Op. Cash Flow$6.7B
Industry P/E17.4
Technical Analysis
TrendNeutral
RSI41.6
Support$111.71
Resistance$128.76
MA 20$118.95
MA 50$119.62
MA 200$107.14
MACDBearish
VolumeDecreasing
Fear & Greed Index75.89
Valuation
Fair Value$286.64
Target Price$133.83
Upside/Downside16.28%
GradeUndervalued
TypeBlend
Dividend Yield1.84%
Risk Assessment
Beta0.92
Volatility31.85%
Sector RiskMedium
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.