Jefferies Financial Group (NYSE:JEF) Sets New 1-Year Low on Analyst Downgrade
by Mitch Edgeman · The Markets DailyJefferies Financial Group Inc. (NYSE:JEF – Get Free Report) shares reached a new 52-week low during mid-day trading on Friday after Oppenheimer lowered their price target on the stock from $97.00 to $74.00. Oppenheimer currently has an outperform rating on the stock. Jefferies Financial Group traded as low as $35.53 and last traded at $35.9950, with a volume of 5042049 shares trading hands. The stock had previously closed at $38.71.
A number of other equities analysts have also recently issued reports on the stock. Zacks Research cut shares of Jefferies Financial Group from a “hold” rating to a “strong sell” rating in a research note on Wednesday. UBS Group decreased their target price on shares of Jefferies Financial Group from $76.00 to $59.00 and set a “buy” rating on the stock in a research report on Thursday. The Goldman Sachs Group dropped their price target on shares of Jefferies Financial Group from $61.00 to $54.00 and set a “buy” rating for the company in a research report on Thursday. Weiss Ratings restated a “hold (c-)” rating on shares of Jefferies Financial Group in a research note on Monday, December 29th. Finally, Morgan Stanley downgraded Jefferies Financial Group from an “overweight” rating to an “equal weight” rating and set a $49.00 price objective on the stock. in a report on Monday, March 9th. Three equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $60.00.
Key Headlines Impacting Jefferies Financial Group
Here are the key news stories impacting Jefferies Financial Group this week:
- Positive Sentiment: Oppenheimer cut its price target to $74 from $97 but kept an “outperform” rating, still implying large upside vs. the current share price. Oppenheimer Lowers PT to $74
- Neutral Sentiment: UBS lowered its target to $59 (from $76) but maintained a “buy” rating — a reduction in optimism but not a cut to recommendation. UBS Lowers PT to $59
- Neutral Sentiment: Goldman Sachs trimmed its target to $54 (from $61) while retaining a “buy” stance, signaling lower near‑term expectations from a major bank but continued conviction in longer‑term value. Goldman Cuts PT to $54
- Negative Sentiment: Zacks Research downgraded JEF from “hold” to “strong sell,” increasing selling pressure and signaling short‑term analyst skepticism. Zacks Downgrades to Strong Sell TickerReport
- Negative Sentiment: Multiple shareholder lawsuits and continued securities‑fraud investigations (press releases from Pomerantz, Glancy Prongay & Murray, and other firms) raise legal and reputational risk that could pressure the stock and increase potential liabilities. Pomerantz Investigation Glancy Prongay & Murray
- Negative Sentiment: JEF hit a new 1‑year low following recent analyst downgrades, highlighting increased short‑term downside risk and reduced analyst confidence. 1‑Year Low After Downgrade
Hedge Funds Weigh In On Jefferies Financial Group
Several institutional investors have recently added to or reduced their stakes in JEF. Dean Capital Management grew its stake in Jefferies Financial Group by 27.6% during the fourth quarter. Dean Capital Management now owns 29,603 shares of the financial services provider’s stock worth $1,834,000 after buying an additional 6,403 shares during the last quarter. Alberta Investment Management Corp bought a new position in shares of Jefferies Financial Group in the fourth quarter valued at approximately $1,574,000. Mercer Global Advisors Inc. ADV boosted its holdings in shares of Jefferies Financial Group by 593.9% in the 4th quarter. Mercer Global Advisors Inc. ADV now owns 185,791 shares of the financial services provider’s stock worth $11,513,000 after acquiring an additional 159,016 shares in the last quarter. EP Wealth Advisors LLC acquired a new position in shares of Jefferies Financial Group in the 4th quarter worth approximately $269,000. Finally, NewEdge Advisors LLC grew its position in Jefferies Financial Group by 8.3% during the 4th quarter. NewEdge Advisors LLC now owns 36,347 shares of the financial services provider’s stock worth $2,252,000 after acquiring an additional 2,772 shares during the last quarter. 60.88% of the stock is owned by institutional investors.
Jefferies Financial Group Stock Performance
The stock has a 50-day moving average of $54.97 and a 200 day moving average of $58.19. The firm has a market capitalization of $7.50 billion, a P/E ratio of 12.84 and a beta of 1.52. The company has a debt-to-equity ratio of 1.73, a quick ratio of 0.99 and a current ratio of 0.99.
Jefferies Financial Group (NYSE:JEF – Get Free Report) last issued its quarterly earnings data on Wednesday, January 7th. The financial services provider reported $0.96 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.83 by $0.13. The firm had revenue of $2.07 billion during the quarter, compared to the consensus estimate of $2.01 billion. Jefferies Financial Group had a return on equity of 7.27% and a net margin of 6.56%.The business’s revenue for the quarter was up 5.7% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.91 EPS. On average, research analysts anticipate that Jefferies Financial Group Inc. will post 4.41 earnings per share for the current year.
Jefferies Financial Group Announces Dividend
The business also recently declared a quarterly dividend, which was paid on Friday, February 27th. Investors of record on Tuesday, February 17th were given a dividend of $0.40 per share. The ex-dividend date was Tuesday, February 17th. This represents a $1.60 annualized dividend and a yield of 4.4%. Jefferies Financial Group’s dividend payout ratio is 56.54%.
About Jefferies Financial Group
Jefferies Financial Group Inc is a diversified financial services company that provides a range of investment banking, capital markets and asset management services to corporations, governments and institutional investors worldwide. Through its core platform, Jefferies offers advisory services for mergers and acquisitions, debt and equity underwriting, restructuring and recapitalization. The firm also operates a global sales and trading business covering equities, fixed income and foreign exchange products, complemented by equity research and macroeconomic analysis.
In addition to its capital markets franchise, Jefferies maintains a growing asset management division that delivers customized investment solutions across public and private markets.