BNY Mellon guidance in focus, Truist lifts price target on the trust bank shares

By Anna Wagner, Analysts & Consensus desk. Reviewed prior to publication on 2026-06-28, 14:35.

The Bank of New York Mellon Corp (US0640581007) tightened its 2026 guidance earlier this year, and those numbers remain central as Wall Street prepares for the second-quarter earnings season. The trust bank listed on the NYSE sits in the S&P 500 and draws close analyst attention, with Truist now lifting its price target on the shares.

What Truist now expects

On 26 June 2026, Truist raised its price target on Bank of New York Mellon from 148 dollars to 160 dollars and reiterated a Buy rating on the shares, citing the benefit of higher interest rates and robust equity markets for trust banks. A detailed summary of the Truist note is available via Yahoo Finance. The research house framed the call within a broader preview of second-quarter earnings for the sector.

According to the Truist update, the higher target reflects expectations that fee income from asset servicing and investment management will remain supported by market levels, while net interest income (NII) should benefit from the current rate environment. The note flags BNY Mellon’s position as a leading global custodian bank, with sensitivity to equity and fixed income valuations, and highlights the company’s capital strength as a buffer against cyclical swings.

What the current guidance shows

BNY Mellon’s first-quarter 2026 earnings call contained more granular guidance that now anchors analyst models for the rest of the year. Senior Executive Vice President and Chief Financial Officer Mark McDonogh told investors that management had raised its full-year 2026 total revenue outlook, excluding notable items, and now expects approximately 6 percent year-over-year growth. The same coverage summarizes the CFO’s comments on revenue and NII. That upgrade placed the trust bank toward the upper end of sector peers on expected topline growth for the year.

On net interest income, McDonogh said full-year 2026 NII is now forecast to increase by around 10 percent compared to 2025, again excluding notable items. This guidance reflects the impact of higher short-term rates on the bank’s interest-earning assets, offset by funding costs, and positions BNY Mellon as a beneficiary of the current Federal Reserve stance within the custody and trust segment. Management also held its full-year 2026 expense guidance, excluding notable items, but indicated that expense growth is likely to come in at the upper end of the previously communicated 3 to 4 percent range, underscoring ongoing investments in technology and regulatory compliance.

The business model behind the stock

BNY Mellon generates most of its revenue from fee-based services as one of the world’s largest custody and asset servicing banks, complemented by investment management and treasury services. It earns servicing fees for safeguarding institutional assets, provides fund administration and transfer agency services, and charges for clearing and collateral management. Net interest income from deposits and securities portfolios adds a second revenue pillar that responds to interest rate movements.

Where the stock trades today

The Bank of New York Mellon shares (US0640581007) trade on the NYSE. As of 2026-06-26, 15:59 Eastern Time, the shares closed at 143.44 US dollars, based on recent market data.

This article is for informational purposes only and does not constitute investment advice. It does not replace individual, professional investment or tax consultation. All data were compiled with care from publicly available sources but carry no guarantee.