State Street Corporation (STT) Could Be a Great Choice

Company Overview - State Street Corporation (STT) is based in Boston and operates in the Finance sector, with shares experiencing a price change of -8.46% this year [2] - The company currently pays a dividend of $0.69 per share, resulting in a dividend yield of 3.89$2.76 has increased by 4.5% from the previous year [2] - Over the past five years, the company has raised its dividend four times, achieving an average annual increase of 7.73% [2] - The current payout ratio is 35%, indicating that the company distributes 35% of its trailing 12-month earnings per share as dividends [2] Earnings Growth - The Zacks Consensus Estimate for State Street's earnings per share for 2024 is $7.94, reflecting a year-over-year growth rate of 3.66% [3] Investment Considerations - Dividends are favored by investors for various reasons, including improving stock investing profits and providing tax advantages [4] - Established firms with secure profits are typically viewed as the best dividend options, while high-growth businesses and tech start-ups rarely offer dividends [4] - State Street is considered a compelling investment opportunity due to its strong dividend profile and a Zacks Rank of 3 (Hold) [4]