Northern Trust Corporation cash flow to debt ratio of 33.68% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Northern Trust Corporation's free cash flow has increased -543.32% from $-1.23B last year to $5.46B, signaling increasing performance

Northern Trust Corporation's debt to equity ratio is 1.18, which means that the company's assets are unhealthy financed, signaling financial risk.

Northern Trust Corporation's debt has decreased relative to shareholder equity from 1.25 last year to 1.18 today, signaling strengthened financials

Northern Trust Corporation has a net cash position, so leverage is healthy.

Northern Trust Corporation earns at least as much interest as it pays. Interest obligations are fully covered.

Northern Trust Corporation's profit margin has increased (15.37%) in the last year from 12.79% to 14.76%, signaling increasing performance

Northern Trust Corporation's short-term liabilities of $155.74B exceed its short-term assets of $63.78B, signaling financial risk

Northern Trust Corporation's return on assets of 1.25% is lower than the 5.00% threshold, indicating inefficient asset utilization

Northern Trust Corporation's return on equity of 17.14%, is higher than 15.00%, indicating good performance

Northern Trust Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Northern Trust Corporation had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Northern Trust Corporation has positive free cash flow, indicating the company generates cash after capital expenditures

Northern Trust Corporation has a free cash flow yield of 15.88%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Northern Trust Corporation's yearly earnings has decreased 14.48% since last year from $2.03B to $1.74B, signaling decreasing performance

Northern Trust Corporation's yearly revenue has decreased 9.93% since last year from $15.88B to $14.30B, signaling decreasing performance

ROIC 1.25% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Northern Trust Corporation's 3-year revenue CAGR of 22.64% is positive, indicating growing revenue over the past 3 years

Northern Trust Corporation had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Northern Trust Corporation had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Northern Trust Corporation is undervalued relative to its fair value price of 764.12 based on Discounted Cash Flow model

Northern Trust Corporation has an earnings yield of 6.48%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Northern Trust Corporation is undervalued relative to its fair value price of 362.64 based on EBITDA multiple model

Northern Trust Corporation has insufficient data to compute enterprise value.

Northern Trust Corporation is undervalued relative to its fair value price of 235.40 based on Earnings Fair Value model

Northern Trust Corporation has a PEG-ratio over 1 which is considered overvalued

Northern Trust Corporation has a price-to-book ratio of 2.58x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Northern Trust Corporation has a price-to-sales ratio of 2.28x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue