BNY Mellon Stock To Beat The Street Expectations In Q2

BNY Mellon Stock To Beat The Street Expectations In Q2

BNY Mellon (NYSE: BK) is scheduled to report its fiscal Q2 2021 results on Thursday, July 15. We expect BNY Mellon to top the earnings and revenues expectations. While the bank outperformed the consensus estimates in its first-quarter results, it reported a year-on-year drop in its revenues and profitability. The revenues suffered due to the lower net interest income driven by the interest rate headwinds. Further, higher operating expenses as a % of revenues weighed on the profitability numbers. We expect the same trend to continue in the second quarter as well. Our forecast indicates that BNY Mellon's valuation is around $53 per share, which is 5% more than the current market price of around $50. Look at our interactive dashboard analysis on BNY Mellon's pre-earnings: What To Expect in Q2? for more details. (1) Revenues expected to remain slightly above the consensus estimates Trefis estimates BNY Mellon's fiscal Q2 2020 revenues to be around $3. 93 billion, marginally above the $3. 88 billion consensus estimate. The bank has suffered a 4% y-o-y drop in revenues in 2020, driven by a 7% decline in net interest income and a 4% decrease in total fees and other revenues. The firm's NII