Raymond James Financial Soars: A Closer Look at Impressive Growth and Market Confidence
Raymond James Financial, Inc. (RJF), a diversified financial services company with a market capitalization of $34 billion, offers a variety of services such as investment banking, asset management, banking, and private client services. Headquartered in Saint Petersburg, Florida, it operates through several subsidiaries across the United States, Canada, and Europe, catering to individuals, corporations, and municipalities.
Remarkable Stock Performance Outshines Market Trends
Over the last 52 weeks, shares of Raymond James Financial have significantly outperformed the broader market. RJF has surged 57.9%, while the S&P 500 Index ($SPX) has seen a rally of 31.5%. In 2024 alone, RJF shares are up 49.4%, compared to a 25.7% gain for the SPX on a year-to-date basis.
Furthermore, RJF has exceeded the Financial Select Sector SPDR Fund’s (XLF) return of 43.7% in the past year and 35.2% so far this year.
Strong Q4 Earnings Fuel Investor Confidence
In the wake of its Q4 earnings report released on October 23, shares of Raymond James jumped 7.3%. The company reported adjusted earnings per share of $2.95, which surpassed estimates and marked a 38% year-over-year growth. Revenue reached $3.5 billion, reflecting a 13% increase from the previous year. This was driven by solid performances in both the Capital Markets and Asset Management segments, alongside significant growth in client assets under administration and financial assets under management. Strong balance sheet metrics also contributed to increased investor confidence.
Looking ahead to the current fiscal year ending in September 2025, analysts project RJF’s EPS to rise by 7.8% year-over-year to $10.83. The company’s earnings history shows some mixed results; it has beaten consensus estimates in three of the last four quarters but missed once.
Analyst Ratings Show Positive Shift
Among the 14 analysts covering RJF stock, the consensus rating stands as a “Moderate Buy.” This feedback includes six “Strong Buy” ratings and eight “Holds,” representing a more positive outlook than three months prior, when there were only four “Strong Buy” ratings.
BofA Sets Optimistic Price Target
On October 25, BofA raised its price target for Raymond James Financial to $152, maintaining a “Buy” rating. Analysts pointed to strong results driven by increased capital markets activity and expectations of continued growth due to a supportive macroeconomic environment and recent business investments.
Currently, RJF is trading above the average price target of $150.69, with the highest target recorded at $182 suggesting a potential upside of only 9.2% from current prices.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
