Perella Weinberg Partners (PWP) AI Stock Analysis

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Perella Weinberg Partners

(NASDAQ:PWP)

Select Model

Neutral 50 (OpenAI - 5.2)

Rating:50Neutral

Price Target:

$18.50

▼(-0.75% Downside)

Action:ReiteratedDate:02/28/26

PWP scores neutral overall, driven mainly by uneven financial performance—improving profitability and positive cash flow, but tempered by revenue volatility and negative equity. Weak technical momentum (below key moving averages with negative MACD) further weighs on the score. Valuation offers limited support given a higher P/E, partially offset by a modest dividend, while earnings-call commentary is a positive offset due to strong pipeline/backlog and continued cost discipline.

Positive Factors

Record pipeline and backlog

A record pipeline and announced/pending backlog increases revenue visibility over coming quarters and provides a structural source of deal flow. As mandates convert this backlog can reduce top-line volatility and support improving utilization and margin leverage as scale returns.

Strong liquidity and zero debt

Having substantial cash and no debt materially increases financial flexibility. It supports sustained investments in talent, share returns, and capacity to bridge timing gaps on lumpy deal revenue, making the firm more resilient across transaction cycles.

Senior hires and talent build

Meaningful senior hiring strengthens sector coverage, origination depth and client relationships—durable drivers of advisory mandates. Building bench strength enhances the firm’s ability to win larger or cross‑border assignments and supports long‑term revenue recovery.

Negative Factors

Negative equity

Persistent negative equity limits conventional measures of financial resilience and constrains strategic flexibility. It can complicate capital-raising, acquisition financing, and regulatory perceptions, leaving the firm more reliant on cash buffers and operational performance to restore balance-sheet health.

Revenue decline and volatility

A 14% YoY revenue drop and a choppy multi-year top-line record indicate structural unpredictability in advisory fee capture. Lumpy closings and missed large transactions impair multi-period planning, reduce operating leverage benefits, and make sustained margin improvement harder to rely upon.

Concentration on large deals

High dependence on a small number of large transactions creates structural revenue concentration risk. When big mandates fail to close, fees and margins swing meaningfully, which complicates staffing and compensation planning and increases earnings volatility over multi-quarter horizons.

Perella Weinberg Partners (PWP) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$1.71B

Dividend Yield1.62%

Average Volume (3M)862.80K

Price to Earnings (P/E)31.3

Beta (1Y)1.52

Revenue Growth-12.44%

EPS GrowthN/A

CountryUS

Employees700

SectorFinancial

Sector Strength70

IndustryFinancial - Capital Markets

Share Statistics

EPS (TTM)0.17

Shares Outstanding66,670,740

10 Day Avg. Volume834,478

30 Day Avg. Volume862,798

Financial Highlights & Ratios

PEG Ratio-0.22

Price to Book (P/B)-8.72

Price to Sales (P/S)1.48

P/FCF Ratio36.45

Enterprise Value/Market Cap1.03

Enterprise Value/Revenue2.35

Enterprise Value/Gross Profit2.41

Enterprise Value/Ebitda24.45

Forecast

1Y Price Target

$21.83

Price Target Upside17.11% Upside

Rating ConsensusHold

Number of Analyst Covering3

EPS Forecast (FY)1.21

Revenue Forecast (FY)$975.93M

Perella Weinberg Partners Business Overview & Revenue Model

Company DescriptionPerella Weinberg Partners, an independent investment banking company, provides strategic and financial advice services in the United States and internationally. The company offers advice services related to mission-critical strategic and financial decisions, mergers and acquisition execution, shareholder and defense advisory, capital raising, structure and restructuring, capital markets advisory, energy underwriting, and equity research. It serves public multinational corporations, mid-sized public and private companies, individual entrepreneurs, private and institutional investors, creditor committees, and government institutions in various industries comprising consumer and retail; energy; financial institutions; healthcare; industrials; and technology, media, and telecommunications. The company was founded in 2006 and is based in New York, New York.

How the Company Makes MoneyPerella Weinberg Partners generates revenue primarily through advisory fees earned from its M&A and restructuring services. The firm charges clients a fee for its advisory services, which can be structured as a retainer or a success fee based on the completion of a transaction. Additionally, PWP earns revenue from capital raising activities, which may involve underwriting fees or commissions from securities offerings. The company's revenue model is heavily reliant on the volume and value of transactions it advises on, meaning that fluctuations in market activity can significantly impact earnings. PWP also benefits from strategic partnerships and relationships with major financial institutions, enhancing its ability to secure advisory mandates and expand its client base.

Perella Weinberg Partners Key Performance Indicators (KPIs)

Any

Remaining Performance Obligations

Remaining Performance Obligations
Indicates the value of contracted work yet to be completed, offering insight into future revenue streams and the company's workload capacity.

Chart InsightsPerella Weinberg Partners' remaining performance obligations have seen a significant decline, reflecting challenges in converting active mandates into announcements due to financing and valuation issues. However, the recent acquisition of Devon Park Advisors and peak engagement levels suggest potential for future growth. The strategic expansion and talent acquisition efforts indicate a focus on strengthening their advisory capabilities, which could stabilize and eventually boost these obligations. Despite flat revenues and announcement delays, the company's strategic moves and optimistic outlook hint at a potential turnaround.

Data provided by:

The Fly

Perella Weinberg Partners Earnings Call Summary

Earnings Call Date:Feb 06, 2026

(Q4-2025)

% Change Since: |

Next Earnings Date:Apr 30, 2026

Earnings Call Sentiment Positive

The call conveyed a cautiously optimistic tone: although full-year revenue fell 14% and the compensation margin ticked up, the firm posted multiple area records (Europe, restructuring, financing), showed disciplined non-comp expense control, integrated the Devon Park acquisition successfully, returned significant capital to shareholders, and entered 2026 with a record pipeline and strong backlog. The negatives (missed large deals and a higher comp ratio) are material but framed as temporary and addressable as pipeline converts.

Q4-2025 Updates

Positive Updates

Solid Revenue Base Despite YoY Decline

Full-year 2025 revenues were $751 million and fourth-quarter revenues were $219 million. While revenue was down 14% from 2024's record results, 2025 was the third-highest revenue year in the firm's 20-year history.

Record Performance in Europe and Restructuring

Europe delivered record revenues in 2025, and the restructuring practice also hit record revenues while gaining market share — positioning the firm strongly in active continental markets and debtor-side mandates.

Financing & Capital Solutions Strength

The financing and capital solutions business hit record levels, with particularly strong liability management engagement activity and a healthy backlog of announced and pending mandates.

Successful Talent Investments and Recruiting Momentum

2025 was a record year for recruiting and promoting senior bankers: the firm added 23 senior bankers (14 of whom were new to the platform). New partner hires continued in early 2026, supporting sector builds (Healthcare Services, U.S. Software).

Devon Park Integration and Early Wins

The Devon Park private capital acquisition has integrated well; early client take-up has been positive and the combined team has already won joint new mandates, with a promising pipeline.

Disciplined Expense and Capital Position

Adjusted non-compensation expense was $159 million for 2025, down 2% YoY and below prior projections, with management expecting a further single-digit percent decrease in 2026. The firm closed the year with $256 million in cash and no debt.

Shareholder-Friendly Capital Actions

Management returned over $163 million to equity in 2025 (dividends, RSU settlements, buybacks, unit exchanges), retired 6.5 million shares, and declared a quarterly dividend of $0.07 per share. Partners and broader team own over 30% of the firm.

Record Pipeline and Backlog

Management reported record-high gross pipeline and a strong announced and pending backlog entering 2026, indicating potential revenue recovery and future deal flow.

Negative Updates

Year-Over-Year Revenue Decline and Missed Large Transactions

Full-year revenues declined 14% vs. 2024. Management noted several large transactions they advised on did not complete as expected, which materially contributed to falling short of revenue ambitions for 2025.

Higher Adjusted Compensation Margin

Adjusted compensation margin increased to 68% for full-year 2025 from 67% in 2024 (a ~100 basis point increase versus accruals cited), reflecting heavy investment in talent and some timing mismatch between investments and revenue realization.

Revenue Sensitivity to Large-Scale Deals

Because fee outcomes are concentrated in large-scale M&A, the firm is sensitive to the completion of a small number of very large transactions; several such deals didn’t 'bounce the firm's way' in 2025, amplifying revenue volatility.

Company Guidance

Management's guidance for 2026 emphasized cost discipline, capital returns, and revenue momentum: they expect adjusted non‑compensation expense to decline a further single‑digit percent (with certain nonrecurring items now behind them), will start Q1 with a 67% comp accrual (FY2025 adjusted compensation margin was 68% vs 67% in 2024), and declared a quarterly dividend of $0.07 per share; balance‑sheet and capital actions remain priorities after returning over $163 million to equity in 2025 (including retiring 6.5 million shares), finishing the year with $256 million of cash, no debt, 67 million Class A shares and 22 million partnership units outstanding, while emphasizing record‑high gross pipeline and a strong, building announced/pending backlog, continued investment in talent (23 senior additions in 2025, 14 new to the platform, plus two partners added in early 2026) and an intent to flex compensation leverage as scale and revenues recover from FY2025 revenue of $751 million (Q4 revenue $219 million, which included $18.5 million recorded for early‑2026 closings).

Perella Weinberg Partners Financial Statement Overview

Summary

Financials are uneven: profitability improved in 2025 with positive EBIT/EBITDA and net margin, and operating/free cash flow were positive. Offsetting this, revenue declined in 2025 after a strong 2024 and results have been volatile with multiple recent loss years. The biggest concern is balance-sheet quality—negative equity in 2024–2025 limits flexibility despite ending 2025 with no debt.

Income Statement

Neutral

Earnings quality is mixed and visibility looks uneven. Revenue fell in 2025 (annual) after a strong 2024, pointing to a choppy top-line trajectory. Profitability improved meaningfully in 2025 with positive EBIT/EBITDA and a positive net margin, but margins have been volatile over the last several years with multiple loss years (2023–2024) and only modest profitability even in better periods.

Balance Sheet

Negative

Balance sheet strength is a key concern due to negative equity in 2024 and 2025, which reduces financial flexibility and makes leverage harder to assess on a standard basis. Total debt declined to zero in 2025 (annual), which is a clear positive, but the combination of negative equity and historically meaningful leverage (e.g., higher debt relative to equity in earlier years) keeps overall balance sheet risk elevated.

Cash Flow

Positive

Cash generation is a relative bright spot. Operating and free cash flow are positive in 2025 (annual), and free cash flow is reasonably aligned with reported earnings. That said, free cash flow growth was sharply negative in 2025 versus 2024, highlighting volatility, and prior years show swings including negative operating/free cash flow in 2022.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	750.90M	878.04M	648.65M	631.51M	801.66M
Gross Profit	730.07M	352.10M	222.08M	240.17M	297.30M
EBITDA	72.35M	-58.15M	-100.42M	-37.04M	45.05M
Net Income	35.48M	-64.73M	-17.22M	17.88M	-9.42M
Balance Sheet
Total Assets	797.64M	876.75M	761.11M	717.09M	718.33M
Cash, Cash Equivalents and Short-Term Investments	255.91M	408.60M	341.28M	314.28M	504.77M
Total Debt	353.66M	187.35M	175.90M	165.60M	43.45M
Total Liabilities	536.90M	646.99M	492.86M	456.95M	446.98M
Stockholders Equity	-127.36M	-421.38M	152.66M	137.46M	126.32M
Cash Flow
Free Cash Flow	30.48M	206.98M	88.28M	-44.33M	233.45M
Operating Cash Flow	34.79M	223.36M	145.88M	-17.77M	234.91M
Investing Cash Flow	51.74M	-98.00K	-5.82M	-166.23M	-2.44M
Financing Cash Flow	-168.57M	-137.25M	-67.02M	-136.77M	-55.02M

Perella Weinberg Partners Technical Analysis

Technical Analysis Sentiment

Negative

Last Price18.64

Price Trends

50DMA

20.21

Negative

100DMA

19.36

Negative

200DMA

19.80

Negative

Market Momentum

MACD

-0.66

Positive

RSI

35.85

Neutral

STOCH

28.08

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PWP, the sentiment is Negative. The current price of 18.64 is below the 20-day moving average (MA) of 20.81, below the 50-day MA of 20.21, and below the 200-day MA of 19.80, indicating a bearish trend. The MACD of -0.66 indicates Positive momentum. The RSI at 35.85 is Neutral, neither overbought nor oversold. The STOCH value of 28.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PWP.

Perella Weinberg Partners Risk Analysis

Perella Weinberg Partners disclosed 39 risk factors in its most recent earnings report. Perella Weinberg Partners 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

Perella Weinberg Partners Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PIPR	72 Outperform	$5.33B	20.11	21.65%	1.63%	12.77%	36.43%
MC	71 Outperform	$4.68B	22.13	46.14%	3.69%	51.19%	456.59%
PJT	71 Outperform	$3.57B	23.93	72.74%	0.58%	23.16%	64.04%
EVR	70 Outperform	$12.41B	25.51	31.66%	0.95%	27.00%	63.47%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
LPLA	60 Neutral	$24.52B	32.56	20.86%	0.32%	35.19%	-18.62%
PWP	50 Neutral	$1.71B	31.31	―	1.62%	-12.44%	―

* Financial Sector Average

Performance Comparison

PWP

Perella Weinberg Partners

18.23

-2.12

-10.41%

EVR

Evercore Partners

302.77

94.75

45.55%

LPLA

LPL Financial

316.92

-18.88

-5.62%

PIPR

Piper Sandler

300.28

50.64

20.28%

Moelis

58.22

-1.70

-2.85%

PJT

PJT Partners

145.95

-1.31

-0.89%

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: Feb 28, 2026