Raymond James’ Q4 Earnings Tops Estimates With Significant Jump In Capital Markets’ Revenue: Retail Stays Positive
The company reported adjusted earnings of $2.93 per share during the fiscal first quarter, compared with the market estimate of $2.69 per share.
FollowRaymond James Financial (RJF) shares rose 1.7% in premarket trade on Thursday after the company topped Wall Street estimates for quarterly profit.
According to Koyfin data, the company reported adjusted earnings of $2.93 per share during the fiscal first quarter on Wednesday, compared with the market estimate of $2.69 per share.
Its net revenue jumped 17% to $3.54 billion year-over-year (YoY), beating the average analysts’ estimate of $3.48 billion.
“Despite some seasonal headwinds, we are optimistic entering the fiscal second quarter with strong client asset levels, solid loan growth, and healthy activity levels for both financial advisor recruiting and investment banking,” CEO Paul Reilly said.
The investment bank’s capital markets segment net revenue jumped 42% to $480 million, driven by a 92% increase in mergers and acquisitions and advisory revenue.
Earlier in January, larger peers Morgan Stanley and Goldman Sachs also reported a sharp rise in investment banking revenue as deal-making activity grew following President Donald Trump’s victory.
“We remain optimistic for the rest of the fiscal year as the market environment is more conducive to transaction closings,” Reilly added.
Its firmwide net interest income fell to $529 million from $546 million last year.
Revenue at its private clients segment jumped 14% to a record $2.55 billion, driven by higher asset management and related administrative fees.
Total client assets under administration rose 14% to $1.56 trillion in the quarter compared with the year-ago quarter, but they declined sequentially.
Retail chatter on Stocktwits moved to ‘bullish’ (66/100) territory from ‘extremely bullish’(75/100) a day ago, while retail chatter jumped to ‘extremely high.’
RJF’s Sentiment Meter and Message Volume as of 08:28 a.m. ET on Jan. 30, 2025 | Source: Stocktwits
Over the past year, Raymond James stock has gained 51.6%.
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