JEF

Jefferies Financial Group Inc

Finance/Real Estate


Presented:10/14/2021
Price:$41.35
Cap:$10.15B
Current Price:$65.47
Cap:$13.45B

Presented

Date10/14/2021
Price$41.35
Market Cap$10.15B
Ent Value$17.22B
P/E Ratio6.85x
Book Value$42.28
Div Yield1.93%
Shares O/S245.56M
Ave Daily Vol1,714,500
Short Int2.62%

Current

Price$65.47
Market Cap$13.45B
Jefferies Financial Group, Inc. is a holding company, which engages in the provision of financial services. It operates through the following segments: Investment Banking, Capital Markets, and Asset Management; Merchant Banking; and Corporate segments. The Investment Banking, Capital Markets, and Asset Management segment consists of investments in Jefferies Group. The Merchant Banking segment includes various merchant banking businesses and investments, primarily including Linkem, Vitesse Energy Finance and JETX Energy, real estate, Idaho Timber, and FXCM. The Corporate segment pertains to cash and cash equivalents, financial instruments owned, and deferred tax asset of the firm. The company was founded in 1968 and is headquartered in New York, NY.

Publicly traded companies mentioned herein: Evercore Inc (EVR), Jefferies Financial Group Inc (JEF), Moelis & Co (MC), Morgan Stanley (MS)

Highlights

The presenter is long shares of Jefferies Financial Group Inc (JEF), which he considers an overlooked $10B market cap company, in part as it is covered by just three analysts. Although the stock is up more than 50% this year, he sees additional upside from the current $41 share price given its attractive business mix, competitive positioning, strong leadership, solid dividend (2.5%), and impressive ongoing share repurchase efforts. Based on these dynamics, he anticipates the company will beat Street earnings estimates and close the valuation gap with peers, ultimately driving the share price to his $58 target.

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Idea Discussion

Commentor 1 - 2 weeks ago

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