On June 25, Jefferies Financial Group fell 6.52% in regular trading, trading at $53.635/share, with turnover of $75.18 million. The decline was triggered by the company's fiscal Q2 earnings report, which showed both revenue and earnings falling short of analyst expectations.
Jefferies reported Q2 EPS of $1.02, missing the FactSet consensus estimate of $1.16. Quarterly revenue came in at $2.206 billion, approximately 4.06% below the expected $2.299 billion. While revenue grew 35% year-over-year and EPS surged from $0.40 in the prior-year period, this marks the second consecutive quarter of missing expectations, further pressuring market confidence. In Q1, the company had already disappointed with EPS of $0.70 versus an estimate of $0.89, dragged down by credit losses tied to Market Financial Solutions and First Brands.
Following the report, UBS cut its price target on Jefferies from $67 to $65, maintaining a Neutral rating. The company did repurchase 4 million shares for $197 million during the quarter and increased its buyback authorization to $250 million.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
Comments