PJT Partners (PJT) AI Stock Analysis

• Market Cap: $3.17B
• Dividend Yield: 0.58%
• Average Volume (3M): 377.71K
• Price to Earnings (P/E): 23.9
• Beta (1Y): 1.10
• Revenue Growth: 23.16%
• EPS Growth: 64.04%
• Country: US
• Employees: 1,143
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 2.55
• Shares Outstanding: 24,174,370
• 10 Day Avg. Volume: 380,290
• 30 Day Avg. Volume: 377,711
• PEG Ratio: 0.73
• Price to Book (P/B): 13.98
• Price to Sales (P/S): 2.52
• P/FCF Ratio: 8.97
• Enterprise Value/Market Cap: 0.95
• Enterprise Value/Revenue: 1.76
• Enterprise Value/Gross Profit: 3.32
• Enterprise Value/Ebitda: 7.21
• 1Y Price Target: $163.75
• Price Target Upside: 24.75% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): 7.71
• Revenue Forecast (FY): $1.89B

• Rating: 71 Outperform
• Price Target: $144.00 ▲(9.71% Upside)
• Action: Reiterated Date: 02/27/26
• Date: Action: Reiterated 02/27/26

The score is driven primarily by strong financial performance (improving revenue/profitability, solid cash generation, and a debt-free balance sheet) and a positive earnings call highlighting record results and capital returns. These strengths are tempered by weak technical momentum (below key moving averages with negative MACD) and only moderate valuation support (P/E ~22.5 with a low dividend yield).

Positive Factors

De-risked balance sheet

Moving to zero funded debt and higher equity materially reduces financial risk and increases strategic optionality. Over a multi-quarter horizon this supports sustained share repurchases, dividend capacity, and the ability to invest in talent or acquisitions without reliance on volatile capital markets.

Strong cash generation and earnings quality

Consistent conversion of earnings into operating and free cash flow signals durable earnings quality and financial flexibility. Reliable cash flow supports ongoing capital returns and reinvestment into growth areas, providing a stable foundation even if deal timing shifts across quarters.

Structural revenue diversification: restructuring & Park Hill

Elevated restructuring demand and growth in Park Hill's private capital/secondaries create complementary revenue streams. This structural diversification reduces dependence on traditional M&A cycles and can sustain fee pools during periods of weaker primary fundraising, supporting medium-term revenue resilience.

Negative Factors

Mega-deal concentration risk

Heavy reliance on a few large transactions increases revenue volatility and cyclicality. If mega-deal activity softens, fee income could compress sharply because smaller-deal volume remains depressed, making results sensitive to uneven deal timing across reporting periods.

Rising non-compensation expense

Sustained growth in occupancy, travel and other non-comp costs can erode operating leverage. With management expecting similar non-comp expense growth in 2026, margin expansion from revenue gains may be partially offset, tightening durable profit margins if revenue growth slows.

Secular weakness in primary fundraising

A multi-year decline in primary fundraising reduces a core fee pool for placement services. While secondaries and private capital solutions can offset some lost revenue, prolonged primary weakness may cap Park Hill's growth trajectory and increase reliance on more competitive secondary markets.

PJT Partners Business Overview & Revenue Model

Company Description

PJT Partners Inc., an investment bank, provides various strategic and capital markets advisory, restructuring and special situations, and shareholder advisory services to corporations, financial sponsors, institutional investors, and governments worldwide. It offers advisory services to clients on various transactions, including mergers and acquisitions (M&A), spin-offs, activism defense, contested M&A, joint ventures, minority investments, and divestitures. The company also advises private and public company boards and management teams on strategies for building productive investor relationships with a focus on shareholder engagement; and strategic investor relations; environmental, social, and governance matters; and other investor-related matters. In addition, it provides advisory services related to debt and acquisition financings; structured product offerings; public equity raises, including initial public offering and SPAC offerings; and private capital raises for early and later stage companies, as well as other capital structure related matters. Further, the company offers advisory services in restructurings and recapitalizations; and serving a range of companies, creditors, and financial sponsors on liability management and related capital raise transactions, including exchanges, recapitalizations, reorganizations, debt repurchases, and distressed mergers and acquisitions. Additionally, it provides private fund advisory and fundraising services for a range of investment strategies; and advisory services to GPs and LPs on liquidity and other structured solutions in the secondary market. The company was formerly known as Blackstone Advisory Inc. and changed its name to PJT Partners Inc. in March 2015. PJT Partners Inc. was incorporated in 2014 and is headquartered in New York, New York.

How the Company Makes Money

PJT Partners makes money primarily by earning fees for professional advisory and placement services. (1) Advisory fees: The firm earns transaction-based fees for advising on mergers, acquisitions, divestitures, and other strategic transactions; these are typically success-based and recognized when a deal closes, with some portion potentially earned as retainers or milestone payments depending on the engagement. PJT also earns fees for restructuring and liability management assignments (e.g., advising companies and creditor groups in bankruptcies or out-of-court restructurings), where revenue is driven by mandates and complexity and may be less correlated with general M&A cycles than traditional sell-side/buy-side work. (2) Placement and fundraising-related fees (Park Hill): PJT earns fees by advising alternative asset managers on raising capital (e.g., private equity, private credit, real estate, infrastructure) and by advising on secondary transactions and strategic/GP-related solutions; these revenues are generally driven by fundraising closings and completed advisory assignments. Across both segments, revenues are largely fee-based and tied to the volume, size, and timing of completed client engagements rather than to interest income from lending. Significant factors affecting earnings include overall M&A activity levels, restructuring cycles and credit conditions, capital raising environments for private markets, the firm’s ability to win mandates, and the timing of transaction closings (which can shift revenue recognition between periods). Specific material partnerships contributing to earnings: null.

PJT Partners Financial Statement Overview

Summary

Strong overall fundamentals: accelerating revenue and improved profitability in 2025, robust cash generation closely tracking earnings, and a sharply de-risked balance sheet with zero debt and higher equity. Main offset is margin variability and a slight year-over-year plateau in free cash flow growth.

Income Statement

Revenue has grown meaningfully from 2023 to 2025, with 2025 showing strong year-over-year acceleration. Profitability also improved in 2025 with higher operating and EBITDA margins versus prior years, supporting a stronger earnings profile. The main drawback is that net margin remains in the low-double-digits and has been somewhat variable over time, indicating earnings sensitivity to the operating environment.

Balance Sheet

The balance sheet strengthened sharply in 2025 with total debt dropping to zero and equity rising substantially, resulting in a very conservative capital structure. This reduces financial risk and improves flexibility. A watch item is that prior years showed meaningful leverage (debt-to-equity well above 1x at times), so the improvement is significant but also highlights historical variability in balance-sheet positioning.

Cash Flow

Cash generation is strong, with operating cash flow and free cash flow both high and closely tracking net income, which suggests solid earnings quality. Free cash flow remained robust in 2025, though growth was slightly negative year over year, indicating some near-term plateauing. Overall cash flow stability looks favorable, but investors should monitor the trajectory after a very strong prior-year base.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.71B	1.49B	1.15B	1.03B	991.95M
Gross Profit	908.92M	461.11M	347.80M	356.36M	351.90M
EBITDA	419.36M	331.61M	245.06M	267.35M	280.31M
Net Income	180.12M	134.39M	81.80M	90.53M	106.17M
Balance Sheet
Total Assets	1.91B	1.64B	1.43B	1.05B	987.63M
Cash, Cash Equivalents and Short-Term Investments	585.80M	483.88M	355.54M	173.24M	200.48M
Total Debt	413.92M	354.52M	330.60M	135.63M	157.01M
Total Liabilities	897.97M	733.69M	573.81M	291.09M	350.05M
Stockholders Equity	308.25M	187.01M	244.67M	185.11M	120.23M
Cash Flow
Free Cash Flow	480.44M	527.65M	437.61M	239.30M	117.69M
Operating Cash Flow	526.30M	530.95M	441.53M	242.73M	124.16M
Investing Cash Flow	-28.55M	8.06M	-34.35M	-53.23M	131.35M
Financing Cash Flow	-453.79M	-408.68M	-228.08M	-210.02M	-353.38M

PJT Partners Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 131.26
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PJT, the sentiment is Negative. The current price of 131.26 is below the 20-day moving average (MA) of 141.46, below the 50-day MA of 159.50, and below the 200-day MA of 169.27, indicating a bearish trend. The MACD of -8.08 indicates Positive momentum. The RSI at 24.99 is Positive, neither overbought nor oversold. The STOCH value of 17.63 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PJT.

PJT Partners Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PIPR	72 Outperform	$5.24B	20.11	21.69%	1.63%	12.77%	36.43%
PJT	71 Outperform	$3.17B	23.93	84.45%	0.58%	23.16%	64.04%
MC	71 Outperform	$4.31B	22.13	44.30%	3.69%	51.19%	456.59%
EVR	70 Outperform	$10.89B	16.14	33.81%	0.95%	27.00%	63.47%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
LAZ	60 Neutral	$3.69B	19.99	30.96%	4.06%	1.58%	1.93%
PWP	50 Neutral	$1.56B	31.31	―	1.62%	-12.44%	―