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State Street Financial Strength

: 4 (As of Jun. 2022)
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State Street has the Financial Strength Rank of 4.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

GuruFocus does not calculate State Street's interest coverage with the available data. State Street's debt to revenue ratio for the quarter that ended in Jun. 2022 was 1.25. Altman Z-Score does not apply to banks and insurance companies.


State Street Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

State Street's Interest Expense for the months ended in Jun. 2022 was $-120 Mil. Its Operating Income for the months ended in Jun. 2022 was $0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $13,530 Mil.

State Street's Interest Coverage for the quarter that ended in Jun. 2022 is

The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. State Street Corporation has enough cash to cover all of its debt. Its financial situation is stable.

2. Debt to revenue ratio. The lower, the better.

State Street's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(73 + 13530) / 10852
=1.25

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Altman Z-Score does not apply to banks and insurance companies.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


State Street  (NYSE:STT) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

State Street has the Financial Strength Rank of 4.


State Street Financial Strength Related Terms

Thank you for viewing the detailed overview of State Street's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


State Street Business Description

State Street logo
Address
One Lincoln Street, Boston, MA, USA, 02111
State Street is a leading provider of financial services, including investment servicing, investment management, and investment research and trading. With approximately $43.7 trillion in assets under custody and administration and $4.1 trillion assets under management as of Dec. 31, 2021, State Street operates globally in more than 100 geographic markets and employs more than 38,000 worldwide.
Executives
Demaio Donna director 175 WATER STREET NEW YORK NY 10038
Hu W. Bradford officer: Executive Vice President 388 GREENWICH STREET, 17TH FLOOR NEW YORK NY 10013
Rhea John B director C/O INVITATION HOMES INC. 1717 MAIN STREET, SUITE 2000 DALLAS TX 75201
Portalatin Julio A director C/O MARSH & MCLENNAN COMPANIES, INC. 1166 AVENUE OF THE AMERICAS NEW YORK NY 10036
Tahiri Mostapha officer: Executive Vice President STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
Mccarthy Julia officer: Executive Vice President STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
Richards Michael L officer: EVP and Chief Admin Officer STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
Franz Brian J officer: Executive Vice President STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
Chandoha Marie A director C/O THE CHARLES SCHWAB CORPORATION 211 MAIN STREET SAN FRANCISCO CA 94105
Banerjee Aunoy officer: Executive Vice President STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
Lehner John officer: Executive Vice President STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
Aristeguieta Francisco officer: EVP; CEO State Street Int'l 388 GREENWICH STREET, 17TH FLOOR NEW YORK NY 10013
Chakar Nadine officer: Executive Vice President STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
Ambrosius Joerg officer: Executive Vice President STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
Plansky John officer: EVP; CEO Charles River Develop STATE STREET CORPORATION ONE LINCOLN STREET BOSTON MA 02111
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