Jefferies reported third-quarter earnings, offering investors the first glimpse at investment banking and trading results ahead of the heavily covered earnings reports from large, money center banks in mid-October. Despite a pullback in aftermarket trading, results struck us as generally solid.
Recently elevated trading volume could remain structurally, rather than cyclically, higher, benefiting investment banks like Jefferies.
Blge-bracket banks may increasingly look to compete more for deals sized below $1 billion, which would compress fees further for boutique and middle-market-focused banks like Jefferies.
|
Metric
|
JEF
|
JPM
|
GS
|
|---|---|---|---|
Price/Earnings (Normalized) | 12.42 | 15.00 | 13.71 |
Price/Book Value | 0.87 | 2.50 | 2.52 |
Price/Sales | 0.85 | 4.67 | 4.20 |
Price/Cash Flow | 5.76 | 10.24 | 10.85 |
|
Metric
|
JEF
|
JPM
|
GS
|
|---|---|---|---|
Quick Ratio | 1.29 | — | — |
Current Ratio | 2.24 | — | — |
Interest Coverage | 1.32 | — | — |
|
Metric
|
JEF
|
JPM
|
GS
|
|---|---|---|---|
Return on Assets (Normalized) | 1.27% | 1.31% | 1.26% |
Return on Equity (Normalized) | 8.87% | 17.86% | 23.36% |
Return on Invested Capital (Normalized) | 10.44% | — | — |
|
1-Day Chart
|
Name
|
Price
|
Morningstar Rating for Stocks
|
Capital Allocation
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Economic Moat
|
Market Cap
|
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United States