Northern Stock Alpha and Beta Analysis

NTRS
 Stock
  

USD 92.23  2.13  2.26%   

This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Northern Trust Corp. It also helps investors analyze the systematic and unsystematic risks associated with investing in Northern Trust over a specified time horizon. Remember, high Northern Trust's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation.
Additionally, see Northern Trust Backtesting, Northern Trust Valuation, Northern Trust Correlation, Northern Trust Hype Analysis, Northern Trust Volatility, Northern Trust History and analyze Northern Trust Performance.
  
Please note that although Northern Trust alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., DOW index.) So in this particular case, Northern Trust did 0.11  worse than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of Northern Trust Corp stock's relative risk over its benchmark. Northern Trust Corp has a beta of 1.32  . Let's try to break down what Northern's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Northern Trust will likely underperform.
As of 11/28/2022, Price to Book Value is likely to grow to 2.08, while Book Value per Share is likely to drop 57.01.
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.

Enterprise Value

(14.33 Billion)

Northern Trust Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Northern Trust market risk premium is the additional return an investor will receive from holding Northern Trust long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Northern Trust. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Northern Trust's performance over market.
α-0.11   β1.32
90 days against DJI

Northern Trust expected buy-and-hold returns

Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Northern Trust's Buy-and-hold return. Our buy-and-hold chart shows how Northern Trust performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

Northern Trust Market Price Analysis

Market price analysis indicators help investors to evaluate how Northern Trust stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Northern Trust shares will generate the highest return on investment. By understating and applying Northern Trust stock market price indicators, traders can identify Northern Trust position entry and exit signals to maximize returns.

Northern Trust Return and Market Media

The median price of Northern Trust for the period between Tue, Aug 30, 2022 and Mon, Nov 28, 2022 is 90.4 with a coefficient of variation of 6.03. The daily time series for the period is distributed with a sample standard deviation of 5.39, arithmetic mean of 89.34, and mean deviation of 4.66. The Stock received substential amount of media coverage during this period.
 Price Growth (%)  
       Timeline  
1
Northern Trust Appoints Michael Cklamovski Senior Managing D...09/08/2022
2
Northern Trust Corp. stock falls Wednesday, underperforms ma...09/21/2022
3
EPS Estimate09/30/2022
4
Acquisition by Marcy Klevorn of tradable shares of Northern ...10/04/2022
5
Polar Capital Appoints Northern Trust to Provide Asset Servi...10/11/2022
6
Northern Trust Asset Management Names Head of Global Macro f...10/18/2022
7
EPS Reported10/19/2022
8
Tango Therapeutics has been upgraded by HC Wainwright to Buy...10/21/2022
9
Roth Capitals Price Target for Diamondback Energy Was Increa...11/02/2022

About Northern Trust Beta and Alpha

For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Northern or other stocks. Alpha measures the amount that position in Northern Trust Corp has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
 2019 2020 2021 2022 (projected)
PPandE Turnover15.1312.5912.9311.51
Calculated Tax Rate23.2425.723.1228.73

Northern Trust Upcoming Company Events

As portrayed in its financial statements, the presentation of Northern Trust's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Northern Trust's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Northern Trust's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Northern Trust. Please utilize our Beneish M Score to check the likelihood of Northern Trust's management manipulating its earnings.
Upcoming Quarterly Report20th of January 2022
Next Financial Report19th of April 2022
Next Fiscal Quarter End31st of December 2021
Next Fiscal Year End20th of January 2022
Last Quarter Report30th of September 2021
Last Financial Announcement31st of December 2020

Build Portfolio with Northern Trust

Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.

Build Diversified Portfolios

Align your risk with return expectations

Fix your portfolio
By capturing your risk tolerance and investment horizon Macroaxis technology of instant portfolio optimization will compute exactly how much risk is acceptable for your desired return expectations
Additionally, see Northern Trust Backtesting, Northern Trust Valuation, Northern Trust Correlation, Northern Trust Hype Analysis, Northern Trust Volatility, Northern Trust History and analyze Northern Trust Performance. You can also try Watchlist Optimization module to optimize watchlists to build efficient portfolio or rebalance existing positions based on mean-variance optimization algorithm.

Complementary Tools for analysis

When running Northern Trust Corp price analysis, check to measure Northern Trust's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Northern Trust is operating at the current time. Most of Northern Trust's value examination focuses on studying past and present price action to predict the probability of Northern Trust's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Northern Trust's price. Additionally, you may evaluate how the addition of Northern Trust to your portfolios can decrease your overall portfolio volatility.
Equity Valuation
Check real value of public entities based on technical and fundamental data
Go
Options Analysis
Analyze and evaluate options and option chains as a potential hedge for your portfolios
Go
Fundamentals Comparison
Compare fundamentals across multiple equities to find investing opportunities
Go
Stock Tickers
Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites
Go
Equity Analysis
Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities
Go
Portfolio Volatility
Check portfolio volatility and analyze historical return density to properly model market risk
Go
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Go
Headlines Timeline
Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity
Go
Northern Trust technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Northern Trust technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Northern Trust trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...