Northern Z Score

NTRS
 Stock
  

USD 91.66  1.97  2.10%   

Altman Z Score is one of the simplest fundamental models to determine how likely your company is to fail. The module uses available fundamental data of a given equity to approximate the Altman Z score. Altman Z Score is determined by evaluating five fundamental price points available from the company's current public disclosure documents. Additionally, see Northern Trust Piotroski F Score and Northern Trust Valuation analysis.
  
As of 12/02/2022, Return on Invested Capital is likely to grow to 0.0175, while Capital Expenditure is likely to drop (544.2 M). Northern Trust Weighted Average Shares is relatively stable at the moment as compared to the past year. Northern Trust reported last year Weighted Average Shares of 208.08 Million. As of 12/02/2022, Weighted Average Shares Diluted is likely to grow to about 242.8 M, while Consolidated Income is likely to drop slightly above 1.3 B.

Northern Z Score Analysis

Northern Trust's Z-Score is a simple linear, multi-factor model that measures the financial health and economic stability of a company. The score is used to predict the probability of a firm going into bankruptcy within next 24 months or two fiscal years from the day stated on the accounting statements used to calculate it. The model uses five fundamental business ratios that are weighted according to algorithm of Professor Edward Altman who developed it in the late 1960s at New York University..
 2019 2020 2021 2022 (projected)
PPandE Turnover15.1312.5912.9311.51
Calculated Tax Rate23.2425.723.1228.73
Z Score 
 = 
Sum Of  
 
5 Factors 
More About Z Score | All Equity Analysis

Current Northern Trust Z Score

    
  0.6  
Most of Northern Trust's fundamental indicators, such as Z Score, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Northern Trust is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
First Factor
 = 
1.2 * (
Working Capital
/
Total Assets )
Second Factor
 = 
1.4 * (
Retained Earnings
/
Total Assets )
Thrid Factor
 = 
3.3 * (
EBITAD
/
Total Assets )
Fouth Factor
 = 
0.6 * (
Market Value of Equity
/
Total Liabilities )
Fifth Factor
 = 
0.99 * (
Revenue
/
Total Assets )

Northern Z Score Driver Correlations

Understanding the fundamental principles of building solid financial models for Northern Trust is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Z Score. Since Northern Trust's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Northern Trust's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Northern Trust's interrelated accounts and indicators.
To calculate Z-Score one would need to know current working capital of the company, its total assets, and liabilities, amount of latest retained earnings as well as earnings before interest and tax. Z-Score can be used to compare the odds of bankruptcy of companies in a similar line of business or firms operating in the same industry. Companies with Z-Scores above 3.1 are generally considered to be stable and healthy with a low probability of bankruptcy. Scores that fall between 1.8 and 3.1 lie in a so-called 'grey area' with scores of less than 1, indicating the high probability of distress. Z Score is used widely by financial auditors, accountants, money managers, loan processers, wealth advisers, as well as day traders. In the last 25 years, many financial models that utilize z score has been proved to be successful as a predictor of corporate bankruptcy.
Compare to competition

Based on the company's disclosures, Northern Trust has a Z Score of 0.6. This is 75.1% lower than that of the Capital Markets sector and 90.71% lower than that of the Financials industry. The z score for all United States stocks is 93.12% higher than that of the company.

Northern Z Score Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Northern Trust's direct or indirect competition against its Z Score to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Northern Trust could also be used in its relative valuation, which is a method of valuing Northern Trust by comparing valuation metrics of similar companies.
Northern Trust is currently under evaluation in z score category among related companies.

Northern Trust Current Valuation Drivers

We derive many important indicators used in calculating different scores of Northern Trust from analyzing Northern Trust's financial statements. These drivers represent accounts that assess Northern Trust's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Northern Trust's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee66.24 K82.79 K75.36 K57.7 K73.24 K63.85 K
Revenue Per Employee315.77 K354.2 K348.24 K300.66 K307.5 K292.2 K
Average Assets129.27 B132.34 B127.4 B158.81 B182.63 B162.47 B
Earnings Before Interest Taxes and Depreciation Amortization EBITDA2.06 B2.42 B2.4 B2.13 B2.45 B2.3 B
Earnings Before Interest Taxes and Depreciation Amortization USD2.06 B2.42 B2.4 B2.13 B2.45 B2.3 B
Earnings before Tax1.63 B1.96 B1.94 B1.63 B1.87 B1.79 B
Average Equity10.11 B10.36 B10.83 B11.38 B13.09 B12.04 B
Enterprise Value(11.81 B)(9.97 B)2.78 B(15.51 B)(13.96 B)(14.33 B)
Free Cash Flow1.25 B1.26 B1.99 B1.34 B1.54 B1.39 B
Invested Capital98.45 B105.52 B104.69 B113.93 B131.02 B121.34 B
Invested Capital Average94.36 B103.19 B102.28 B115.54 B132.87 B121.39 B
Market Capitalization22.72 B18.51 B22.51 B19.38 B22.29 B21.5 B
Tangible Asset Value137.98 B131.54 B136.13 B169.3 B194.69 B171.23 B

Northern Trust ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Northern Trust's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Northern Trust's managers, analysts, and investors.
Environment Score
Governance Score
Social Score

Northern Fundamentals

About Northern Trust Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Northern Trust's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Northern Trust using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Northern Trust based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Northern Trust Corporation, a financial holding company, provides wealth management, asset servicing, asset management, and banking solutions for corporations, institutions, families, and individuals worldwide. The company was founded in 1889 and is headquartered in Chicago, Illinois. Northern Trust operates under Asset Management classification in the United States and is traded on NASDAQ Exchange. It employs 23100 people.

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Our tools can tell you how much better you can do entering a position in Northern Trust without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Additionally, see Northern Trust Piotroski F Score and Northern Trust Valuation analysis. You can also try ETF Directory module to find actively traded Exchange Traded Funds (ETF) from around the world.

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Is Northern Trust's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Northern Trust. If investors know Northern will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Northern Trust listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Market Capitalization
19.4 B
Quarterly Revenue Growth YOY
0.065
Return On Assets
0.0096
Return On Equity
0.14
The market value of Northern Trust is measured differently than its book value, which is the value of Northern that is recorded on the company's balance sheet. Investors also form their own opinion of Northern Trust's value that differs from its market value or its book value, called intrinsic value, which is Northern Trust's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Northern Trust's market value can be influenced by many factors that don't directly affect Northern Trust's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Northern Trust's value and its price as these two are different measures arrived at by different means. Investors typically determine Northern Trust value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Northern Trust's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.