📊 BK-PK Key Takeaways
Investment Thesis
BK demonstrates solid profitability with strong net margins (27.6%) and healthy free cash flow generation ($5.2B), but faces significant headwinds from declining revenue (-21.6% YoY) and concerningly low interest coverage (0.4x). The company maintains adequate financial health with reasonable leverage (0.72x D/E) and positive operating cash flow, warranting a cautious stance pending revenue stabilization.
BK-PK Strengths
- Exceptional net profit margin of 27.6% demonstrates strong bottom-line efficiency despite revenue decline
- Robust free cash flow of $5.2B (25.8% FCF margin) provides substantial capital for operations and shareholder returns
- Moderate leverage ratio of 0.72x D/E with $44.3B equity base maintains financial stability
- Positive operating cash flow of $6.7B indicates core business cash generation capability
BK-PK Risks
- Sharp revenue decline of 21.6% YoY signals significant business contraction or market headwinds in banking operations
- Critical interest coverage ratio of 0.4x indicates potential difficulty servicing debt obligations from operating income
- Low ROA of 1.2% suggests inefficient asset utilization for a financial services company with $472.3B in assets
- Operating margin compression may indicate rising operational costs relative to shrinking revenues
Key Metrics to Watch
- Revenue trajectory - need to confirm stabilization or recovery from 21.6% decline
- Interest coverage ratio improvement - current 0.4x level requires monitoring and improvement
- Asset quality and loan performance metrics - critical for understanding revenue decline drivers
- Net interest margin trends and deposit composition shifts
- Capital adequacy ratios and regulatory compliance metrics
BK-PK Financial Metrics
💡 AI Analyst Insight
The 25.8% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
BK-PK Profitability Ratios
BK-PK vs Finance Sector
How Bank of New York Mellon Corp compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
BK-PK Balance Sheet & Liquidity
BK-PK 5-Year Financial Trend
5-Year Trend Summary: Bank of New York Mellon Corp's revenue has grown significantly by 22% over the 5-year period, indicating strong business expansion. The most recent EPS of $3.89 reflects profitable operations.
BK-PK Growth Metrics (YoY)
BK-PK Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2018 | $2.9B | $651.0M | $0.88 |
| Q1 2018 | $3.0B | $880.0M | $0.83 |
| Q2 2016 | $3.7B | $711.0M | $0.73 |
| Q1 2016 | $3.7B | $231.0M | $0.57 |
| Q3 2015 | $3.8B | $569.0M | $0.73 |
| Q2 2015 | $3.7B | $231.0M | $0.48 |
| Q1 2015 | $3.6B | $209.0M | $0.18 |
| Q3 2014 | $3.7B | $554.0M | $0.48 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
BK-PK Capital Allocation
BK-PK SEC Filings
Access official SEC EDGAR filings for Bank of New York Mellon Corp (CIK: 0001390777)
📋 Recent SEC Filings
❓ Frequently Asked Questions about BK-PK
What is the AI rating for BK-PK?
Bank of New York Mellon Corp (BK-PK) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.
What are BK-PK's key strengths?
Exceptional net profit margin of 27.6% demonstrates strong bottom-line efficiency despite revenue decline. Robust free cash flow of $5.2B (25.8% FCF margin) provides substantial capital for operations and shareholder returns.
What are the risks of investing in BK-PK?
Sharp revenue decline of 21.6% YoY signals significant business contraction or market headwinds in banking operations. Critical interest coverage ratio of 0.4x indicates potential difficulty servicing debt obligations from operating income.
What is BK-PK's revenue and growth?
Bank of New York Mellon Corp reported revenue of $20.1B.
Does BK-PK pay dividends?
Bank of New York Mellon Corp pays dividends, with $1,447.0M distributed to shareholders in the trailing twelve months.
Where can I find BK-PK SEC filings?
Official SEC filings for Bank of New York Mellon Corp (CIK: 0001390777) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is BK-PK's EPS?
Bank of New York Mellon Corp has a diluted EPS of $7.40.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.