Morgan Stanley Lowers Price Target for Jefferies Financial Group

Recently, Jefferies Financial Group (NYSE:JEF) received a revised price target from Morgan Stanley, which was adjusted down from $92.00 to $81.00. This information was shared in a note directed to investors on Thursday, as reported by Benzinga. Morgan Stanley maintains an “overweight” rating for the financial services firm’s stock. The new price target suggests a potential upside of 43.58% based on the stock’s previous closing price.

Other financial firms have also commented on Jefferies Financial Group’s stock. For instance, Oppenheimer reduced their price target from $82.00 to $81.00 and continues to rate the company as “outperform.” This adjustment was made in a research note on January 3rd. Additionally, the Goldman Sachs Group set a target price of $75.00 for Jefferies Financial Group on March 5th.

Price Performance of Jefferies Financial Group

As of Thursday, shares of Jefferies Financial Group opened at $56.42. The company's stock has seen a fifty-two week low of $40.72 and a high of $82.68. Jefferies boasts a market capitalization of approximately $11.63 billion, a price-to-earnings ratio of 18.93, and a beta value of 1.37. Presently, the firm’s 50-day and 200-day simple moving averages stand at $70.02 and $69.36, respectively. The company has a debt-to-equity ratio of 1.57, along with a quick ratio and current ratio of both 1.07.

Recent Earnings Results

Jefferies Financial Group announced its latest earnings on January 8th. The company reported earnings per share (EPS) of $0.91, which fell short of analysts' expectations estimating $0.97 by $0.06. Moreover, the company achieved a return on equity of 7.92% and a net profit margin of 10.57%. Jefferies reported revenue of $1.96 billion for the quarter, exceeding analyst predictions of $1.83 billion. This marks a 63.4% increase compared to the same quarter last year, where the firm had posted an EPS of $0.30. Analysts forecast that Jefferies Financial Group will deliver an EPS of 4.41 for the current year.

Institutional Investment Activity

There has been notable activity among institutional investors regarding Jefferies Financial Group recently. For example, Hemington Wealth Management increased its holdings in the firm by 71.8% during the fourth quarter, now holding 335 shares valued at approximately $26,000 after acquiring an additional 140 shares. Similarly, Creative Financial Designs Inc. ADV grew its stake by 14.2% for a total of 1,223 shares valued at around $96,000. Quadrant Capital Group LLC raised its position by 5.8%, now owning 2,960 shares worth about $232,000 after buying an additional 161 shares. Caprock Group LLC and Greenleaf Trust also increased their stakes during the same period. Overall, institutional investors and hedge funds own approximately 60.88% of Jefferies Financial Group's stock.

About Jefferies Financial Group

Jefferies Financial Group Inc. serves as an investment banking and capital markets firm operating in various regions including the Americas, Europe, the Middle East, and the Asia-Pacific. The company has two main segments: Investment Banking and Capital Markets, as well as Asset Management. Its offerings encompass investment banking services, advisory for mergers and acquisitions, debt financing, capital restructuring, and private capital advisory. Jefferies also provides underwriting and placement services for corporate debts, municipal bonds, as well as equity and equity-linked securities.

Stocks, Finance, Investment