Raymond James stock outperforms as JMP reiterates $180 price target

Published 24/07/2025, 10:40
Raymond James stock outperforms as JMP reiterates $180 price target

Investing.com - Citizens JMP analyst Devin Ryan reiterated a Market Outperform rating and $180.00 price target on Raymond (NSE:RYMD) James (NYSE:RJF), a $34.8 billion financial services firm with a "GREAT" InvestingPro Financial Health score, following the company’s fiscal third-quarter earnings report.

Raymond James reported adjusted earnings per share of $2.18 for the third quarter of fiscal year 2025. The company noted that results included a one-time $58 million increase to Other expenses from a legal settlement related to a bond underwriting between 2013-2015, which had a $0.29 impact on EPS. The company maintains strong fundamentals, with revenue growing 13.4% over the last twelve months.

Excluding the legal charge, Raymond James would have reported EPS of $2.47, exceeding both the analyst’s estimate of $2.42 and the consensus of $2.36. Net revenues came in at $3.4 billion, approximately $25 million higher than modeled.

The outperformance was partially offset by core non-compensation expenses that were $23 million higher than expected and a slightly higher compensation ratio of 64.5% versus the 64% model. The company’s tax rate of 22.7% was lower than the modeled 24.5%, contributing approximately $0.05 to EPS.

Raymond James reiterated its full-year non-compensation expense expectation of $2.1 billion, excluding legal charges and loan loss provisions, despite some seasonal dynamics in expenses including advisor conferences. Trading at a P/E ratio of 13.7x and showing signs of undervaluation according to InvestingPro Fair Value analysis, the company offers additional insights through its comprehensive Pro Research Report, available with an InvestingPro subscription.

In other recent news, Raymond James Financial Inc reported its fiscal third-quarter earnings, which presented a mixed picture for investors. The company’s adjusted earnings per share (EPS) came in at $2.18, which was below the analysts’ expectation of $2.37, representing an 8.02% shortfall. On a positive note, Raymond James surpassed revenue forecasts, bringing in $3.4 billion compared to the anticipated $3.37 billion. These developments reflect the company’s ongoing financial dynamics and are crucial for investors to consider. Additionally, the earnings call highlighted key insights into the company’s performance, although specific future guidance was not detailed. Analysts and investors alike will be watching closely to see how the company navigates these financial results. The mixed earnings performance underscores the importance of monitoring both EPS and revenue figures in evaluating the company’s financial health. These recent developments provide a snapshot of Raymond James’s current financial standing.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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