Raymond James Financial (RJF) AI Stock Analysis

• Market Cap: $32.28B
• Dividend Yield: 1.26%
• Average Volume (3M): 1.10M
• Price to Earnings (P/E): 15.4
• Beta (1Y): 1.11
• Revenue Growth: 11.78%
• EPS Growth: 25.68%
• Country: US
• Employees: 19,000
• Sector: Financial
• Sector Strength: 82
• Industry: Financial - Capital Markets
• EPS (TTM): 2.42
• Shares Outstanding: 201,754,530
• 10 Day Avg. Volume: 1,210,282
• 30 Day Avg. Volume: 1,102,934
• PEG Ratio: 10.44
• Price to Book (P/B): 2.49
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.22
• Enterprise Value/Market Cap: 0.75
• Enterprise Value/Revenue: 0.40
• Enterprise Value/Gross Profit: 1.80
• Enterprise Value/Ebitda: 2.10
• 1Y Price Target: $155.10
• Price Target Upside: -3.06% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 77 Outperform
• Price Target: $167.00 ▲(4.38%Upside)

Raymond James Financial scores 77, reflecting its robust financial performance and positive corporate events. The company's consistent revenue growth and strong balance sheet are significant strengths. While technical indicators show mixed signals, the stock is not overbought, suggesting potential for upward movement. The valuation is reasonable, though the dividend yield is modest. Overall, the company is well-positioned for sustainable growth.

Positive Factors

Client Assets

Client assets under administration increased by 3% due to higher equity market levels and net asset inflows.

Earnings Growth

Earnings per share for the next two years are expected to increase due to better brokerage and interest income.

Investment Banking

Investment banking pipeline is strong, indicating potential future revenue growth.

Negative Factors

Cash Balances

Client cash sweep and enhanced savings program balance were down 3%, with RJF's cash balances below consensus.

Net New Assets

Net new assets came in below forecast at 2.6% annualized, indicating a softness in growth.

Quarterly Performance

The quarter is trending below consensus expectations based on analysis, with advisory estimate roughly 15% below consensus.

Raymond James Financial Business Overview & Revenue Model

Company Description

Raymond James Financial, Inc. (RJF) is a diversified financial services company headquartered in St. Petersburg, Florida. It operates across various sectors, including wealth management, investment banking, asset management, and capital markets. The company provides a range of services such as financial planning, investment advisory, securities brokerage, and underwriting to individuals, corporations, and municipalities. With a client-focused approach, Raymond James aims to support its clients' financial goals through personalized solutions and expert financial advice.

How the Company Makes Money

Raymond James Financial makes money through several key revenue streams. The primary source of revenue is its Private Client Group, which generates income from advisory fees, commissions, and asset management fees by providing wealth management services to individual clients. The Capital Markets segment contributes to revenue through underwriting, trading, and advisory fees from institutional clients and corporate entities. Additionally, the Asset Management segment earns fees from managing client assets across various investment strategies. Other revenue streams include interest income from lending and deposits, as well as fees from financial planning and other services. Strategic partnerships and a strong presence in the financial sector further bolster its earnings, enhancing its ability to attract and retain clients.

Raymond James Financial Financial Statement Overview

Summary

Raymond James Financial exhibits a strong financial performance with consistent revenue and profit growth, efficient cost management, and a solid balance sheet. The company is leveraging its equity wisely to generate returns, and its improving cash flow position indicates effective cash management. While the financial statements show strength, attention to maintaining liquidity and managing capital expenditures is advisable to sustain growth momentum.

Income Statement

Raymond James Financial has demonstrated strong revenue growth, with a steady increase from $9.63 billion in 2021 to $14.95 billion in TTM 2025. The company maintains a healthy gross profit margin of approximately 89.6% in TTM, indicating efficient cost management. Net profit margin improved to 14.6% in TTM, reflecting enhanced profitability. The EBIT and EBITDA margins are also robust at 18.9% and 20.4% respectively, showcasing operational efficiency. Overall, the income statement reflects solid growth and profitability.

Balance Sheet

The balance sheet of Raymond James Financial is characterized by a strong equity base, with stockholders' equity rising to $12.21 billion in TTM. The debt-to-equity ratio is manageable at 0.30, indicating conservative leverage. The return on equity stands at a commendable 17.9% in TTM, demonstrating effective utilization of shareholders' funds. The equity ratio of 14.7% suggests a stable financial position, though there's room for improvement in increasing equity relative to total assets. Overall, the balance sheet is solid with prudent financial management.

Cash Flow

Raymond James Financial shows a positive trend in free cash flow, increasing to $1.98 billion in TTM from negative values in prior years, reflecting improved cash generation. The operating cash flow to net income ratio is healthy at 0.99, indicating strong cash conversion from net income. The free cash flow to net income ratio is slightly lower at 0.90, suggesting some capital expenditure requirements. Overall, the cash flow statement reflects improving liquidity and cash management, though volatility in past years warrants attention.

Breakdown	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	15.44B	14.74B	12.84B	11.16B	9.78B	7.89B
Gross Profit	13.40B	12.59B	11.34B	10.75B	9.66B	7.66B
EBITDA	3.01B	2.82B	2.44B	2.28B	1.93B	1.32B
Net Income	2.19B	2.07B	1.74B	1.51B	1.40B	818.00M
Balance Sheet
Total Assets	83.13B	82.99B	78.36B	80.95B	61.89B	47.48B
Cash, Cash Equivalents and Short-Term Investments	17.41B	19.26B	18.60B	16.06B	15.52B	13.04B
Total Debt	3.68B	4.03B	3.48B	3.79B	3.17B	3.28B
Total Liabilities	70.91B	71.33B	68.17B	71.52B	53.59B	40.31B
Stockholders Equity	12.21B	11.67B	10.21B	9.46B	8.24B	7.11B
Cash Flow
Free Cash Flow	1.98B	1.95B	-3.69B	-19.00M	6.57B	3.95B
Operating Cash Flow	2.17B	2.15B	-3.51B	72.00M	6.65B	4.07B
Investing Cash Flow	-2.46B	-968.00M	-274.00M	-7.15B	-5.14B	-4.99B
Financing Cash Flow	-291.00M	438.00M	1.44B	5.88B	5.23B	4.57B

Raymond James Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 160.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RJF, the sentiment is Positive. The current price of 160 is above the 20-day moving average (MA) of 149.83, above the 50-day MA of 146.76, and above the 200-day MA of 147.37, indicating a bullish trend. The MACD of 2.95 indicates Negative momentum. The RSI at 76.52 is Negative, neither overbought nor oversold. The STOCH value of 95.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RJF.

Raymond James Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LPLA	80 Outperform	$30.72B	26.59	40.36%	0.32%	26.32%	8.63%
HLI	79 Outperform	$12.95B	31.87	19.93%	1.31%	24.88%	39.55%
RJF	77 Outperform	$32.28B	15.41	18.84%	1.26%	11.78%	25.68%
SF	73 Outperform	$11.22B	20.81	11.48%	1.71%	12.85%	20.21%
SNEX	69 Neutral	$4.59B	15.90	16.69%	―	67.71%	19.42%
JEF	67 Neutral	$11.74B	21.56	5.86%	2.83%	0.84%	46.98%
Sector *	67 Neutral	$17.01B	11.90	9.70%	3.76%	11.63%	-9.47%

Raymond James Financial Corporate Events

Raymond James Reports May 2025 Operating Data

On June 25, 2025, Raymond James Financial reported its operating data for May 2025, highlighting a 9% year-over-year and 3% month-over-month increase in client assets under administration, driven by higher equity markets and net asset inflows. Despite a decline in clients’ domestic cash sweep and Enhanced Savings Program balances by 4% year-over-year and 3% sequentially, the investment banking pipeline remains robust, although the timing of closings is uncertain.

The most recent analyst rating on (RJF) stock is a Buy with a $185.00 price target. To see the full list of analyst forecasts on Raymond James Financial stock, see the RJF Stock Forecast page.

Raymond James Financial Hosts Analyst & Investor Day

Raymond James Financial announced its annual Analyst & Investor Day scheduled for June 5, 2025, where executive management will present strategic overviews and financial reviews. The event highlights the company’s focus on sustainable growth, market expansion, and leveraging technology to enhance infrastructure, aiming to strengthen its position in the financial services industry.

The most recent analyst rating on (RJF) stock is a Hold with a $158.00 price target. To see the full list of analyst forecasts on Raymond James Financial stock, see the RJF Stock Forecast page.

Raymond James Financial Appoints New Board Member

On May 21, 2025, Raymond James Financial announced the appointment of Mark W. Begor, CEO of Equifax, to its Board of Directors, expanding the board from 12 to 13 members. Begor, who will serve on the Audit and Risk Committees, brings extensive experience in financial services and strategic growth, aligning with Raymond James’ focus on developing an industry-leading technology platform. Additionally, the company declared a quarterly dividend of $0.50 per common share and $0.3984375 per depositary share of its Series B Preferred Stock, payable in July 2025, reflecting its commitment to delivering shareholder value.

The most recent analyst rating on (RJF) stock is a Hold with a $161.00 price target. To see the full list of analyst forecasts on Raymond James Financial stock, see the RJF Stock Forecast page.

Raymond James Financial Reports April 2025 Operating Data

On May 21, 2025, Raymond James Financial reported its operating data for April 2025, highlighting a 9% increase in client assets under administration compared to the previous year, while domestic cash sweep and Enhanced Savings Program balances saw a decline due to quarterly fee billings and seasonal tax payments. Despite macroeconomic uncertainties affecting the timing of investment banking closings, the company’s pipeline remains strong, indicating resilience in its operations.

The most recent analyst rating on (RJF) stock is a Buy with a $185.00 price target. To see the full list of analyst forecasts on Raymond James Financial stock, see the RJF Stock Forecast page.