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Moelis (MC)
NYSE:MC
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Moelis (MC) AI Stock Analysis

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MC

Moelis

(NYSE:MC)

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Outperform 79 (OpenAI - 5.2)
Rating:79Outperform
Price Target:
$78.00
â–²(16.42% Upside)
Action:Reiterated
Date:08/18/26
MC scores well primarily on financial performance and earnings-call-driven outlook: strong cash generation, improved profitability, and management citing record results with a materially larger pipeline and ongoing capital returns. Technicals are supportive with bullish trend signals, while valuation is fair (P/E ~22.6) and helped by a solid dividend yield. The main offset is the business’s inherent earnings cyclicality and cost pressures noted on the call.
Positive Factors
Record Revenue and Pipeline
Record revenue and a substantially larger pipeline indicate stronger client demand and improving transaction visibility. If sustained, this should support advisory-fee growth across the second half and strengthen Moelis’s competitive position.
Negative Factors
Transaction-Cycle Earnings Volatility
Moelis relies primarily on transaction-based advisory fees, so revenue depends on deal activity and closing timing. The sharp historical swings show that earnings can contract materially when M&A, financing or restructuring volumes weaken.
Read all positive and negative factors
Positive Factors
Negative Factors
Record Revenue and Pipeline
Record revenue and a substantially larger pipeline indicate stronger client demand and improving transaction visibility. If sustained, this should support advisory-fee growth across the second half and strengthen Moelis’s competitive position.
Read all positive factors

Moelis (MC) vs. SPDR S&P 500 ETF (SPY)

Moelis Business Overview & Revenue Model

Company Description
Moelis & Company operates as a dedicated investment banking advisory firm, offering expert counsel on a wide range of corporate finance matters. Its core services include strategic guidance for mergers and acquisitions (M&A), corporate recapitaliz...
How the Company Makes Money
Moelis primarily makes money by earning advisory fees for investment-banking services. Its core revenue stream is transaction-based advisory revenue, typically recognized when client engagements reach key milestones or close (for example, completi...

Moelis Earnings Call Summary

Earnings Call Date:Jul 29, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 04, 2026
Earnings Call Sentiment Positive
The call emphasized strong, broad-based revenue growth, record results in capital markets and PCA, a substantially larger announced pipeline (+80%), improved margins, meaningful talent additions and active capital returns, indicating positive operational momentum. Notable challenges include rising non-compensation costs, competitive senior hiring pressures, pockets of weaker capital structure activity, industry-wide sponsor exit constraints in parts of the mid-market, and macro/AI-related risks. On balance the positive revenue, pipeline, margin improvements and balance sheet strength outweigh the challenges.
Positive Updates
Record Revenue and Year-over-Year Growth
Reported Q2 revenues of $409 million, up 12% year-over-year, and first half revenues of $729 million, up 9% year-over-year — record revenues for both the quarter and first half.
Negative Updates
Rising Non-Compensation Expenses
Adjusted non-compensation expenses were $66.5M in Q2 (non-comp expense ratio 16.2%) and $134M in H1 (ratio 18.3%). Management attributes growth to higher deal-related T&E, client conferences and increased underwriting syndication costs from expanding public equity capital markets; quarterly non-comp expected to remain in the mid- to high-$60M range.
Read all updates
Q2-2026 Updates
Negative
Record Revenue and Year-over-Year Growth
Reported Q2 revenues of $409 million, up 12% year-over-year, and first half revenues of $729 million, up 9% year-over-year — record revenues for both the quarter and first half.
Read all positive updates
Company Guidance
Guidance from the call was constructive: Q2 revenues were $409.0M (+12% YoY) and first‑half revenues were $729.0M (+9% YoY), both records, with capital markets and private capital advisory driving growth and an announced pipeline up >80% year‑over‑year as the firm enters the back half with a record total pipeline; first‑half business mix was ~2/3 M&A / 1/3 non‑M&A. Management expects a strong second half, continued progress on the adjusted compensation ratio (65.8% in Q2 and YTD vs. 69% prior year, with improvement dependent on full‑year revenues, senior hiring and the talent market), and steady adjusted non‑comp expense run‑rate (Q2 non‑comp $66.5M, 16.2% ratio; H1 non‑comp $134M, 18.3% ratio; quarterly non‑comp expected in the mid‑to‑high $60M range). Financial highlights and capital returns include adjusted pretax margins of 18.6% (Q2) and 17.0% (YTD) vs. 17.6%/16.0% prior, an effective tax rate of 29.1% for the quarter, a $0.65 regular quarterly dividend, ~337k shares repurchased in Q2 at $64.43 avg (≈2.3M shares repurchased YTD for ~$141M), ~ $246M returned to shareholders in H1 including dividends, and cash of $481M with no debt. The firm also reinforced hiring and strategic investments (12 lateral MD hires YTD and 13 internal promotions, PCA team at 7 dedicated MDs) and ongoing AI deployment with largely fixed‑cost contracts to date.

Moelis Financial Statement Overview

Summary
Fundamentals show a strong rebound and healthy cash generation. Income statement strength (78) reflects solid TTM profitability and materially higher revenue versus 2023, but with notable cyclicality risk. Balance sheet is supportive but slightly clouded (70) by mixed signals/inconsistencies and asset decline. Cash flow is a clear positive (83) with strong TTM operating cash flow and free cash flow closely tracking earnings.
Income Statement
78
Positive
Balance Sheet
70
Positive
Cash Flow
83
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.57B1.52B1.19B854.75M985.30M1.54B
Gross Profit1.10B1.50B364.39M140.00M367.10M626.70M
EBITDA313.64M339.35M183.39M-32.03M224.07M503.16M
Net Income228.26M233.04M136.02M-24.70M150.34M365.21M
Balance Sheet
Total Assets1.41B1.81B1.38B1.18B1.22B1.56B
Cash, Cash Equivalents and Short-Term Investments207.74M508.60M412.47M186.42M206.79M520.21M
Total Debt262.75M267.15M223.24M215.68M192.76M191.89M
Total Liabilities766.60M1.13B899.55M817.30M757.93M1.08B
Stockholders Equity505.81M568.44M441.61M352.14M444.50M489.07M
Cash Flow
Free Cash Flow435.52M539.97M415.39M141.78M27.04M920.55M
Operating Cash Flow490.45M576.30M427.49M158.47M32.99M936.98M
Investing Cash Flow-47.36M-195.97M17.11M48.57M-11.18M-17.01M
Financing Cash Flow-394.02M-283.90M-215.10M-229.17M-326.90M-602.54M

Moelis Technical Analysis

Technical Analysis Sentiment
Positive
Last Price67.00
Price Trends
50DMA
66.63
Positive
100DMA
65.50
Positive
200DMA
64.65
Positive
Market Momentum
MACD
0.41
Negative
RSI
53.45
Neutral
STOCH
60.21
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MC, the sentiment is Positive. The current price of 67 is below the 20-day moving average (MA) of 67.24, above the 50-day MA of 66.63, and above the 200-day MA of 64.65, indicating a bullish trend. The MACD of 0.41 indicates Negative momentum. The RSI at 53.45 is Neutral, neither overbought nor oversold. The STOCH value of 60.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MC.

Moelis Risk Analysis

Moelis disclosed 7 risk factors in its most recent earnings report. Moelis reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Moelis Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
$5.54B22.6143.55%3.88%13.69%12.33%
72
Outperform
$4.47B19.6471.16%0.59%22.91%21.48%
71
Outperform
$11.23B15.1139.83%1.00%45.68%59.92%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
65
Neutral
$28.45B28.9318.45%0.37%38.82%-14.48%
64
Neutral
$4.30B19.2725.84%4.51%5.74%-30.53%
64
Neutral
$9.02B21.1717.78%1.78%1.59%-1.40%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MC
Moelis
68.50
-0.67
-0.97%
EVR
Evercore Partners
290.11
-24.95
-7.92%
LAZ
Lazard
44.07
-10.38
-19.07%
LPLA
LPL Financial
364.18
5.05
1.41%
HLI
Houlihan Lokey
128.95
-64.46
-33.33%
PJT
PJT Partners
176.41
-0.50
-0.28%

Moelis Corporate Events

Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
Moelis Reports Record Q2 2026 Revenues and Earnings
Positive
Jul 29, 2026
On July 29, 2026, Moelis Company reported record second-quarter and first-half 2026 revenues of $409.4 million and $729.2 million respectively, representing year-on-year increases of 12% and 9%. GAAP diluted earnings were $0.62 per share for the ...
Executive/Board ChangesShareholder Meetings
Moelis Shareholders Back Directors, Pay and Auditor at Meeting
Positive
Jun 26, 2026
On June 25, 2026, Moelis Company held its 2026 Annual Meeting of Stockholders, where investors voted on board elections, executive compensation, and auditor ratification. Stockholders elected seven directors, including Chairman and CEO Kenneth Mo...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 18, 2026