We view Raymond James' strategy as appropriate. The firm is judiciously focusing on its wealth management franchise, utilizing its relative strength to fuel growth across its other segments.
The firm could continue to collect net new assets at rates that outpace the broader industry, significantly improving its earnings potential as, predominately, a fee-based business.
Wirehouse firms have ample firepower for advisor recruiting, and could ramp up transition packages, pressuring margins, growth, or both for independent broker-dealers.
|
Metric
|
RJF
|
LPLA
|
SF
|
|---|---|---|---|
Price/Earnings (Normalized) | 14.06 | 14.39 | 12.87 |
Price/Book Value | 2.39 | 4.17 | 2.11 |
Price/Sales | 2.16 | 1.30 | 2.10 |
Price/Cash Flow | 12.03 | 10.34 | 6.32 |
|
Metric
|
RJF
|
LPLA
|
SF
|
|---|---|---|---|
Quick Ratio | — | 1.86 | — |
Current Ratio | — | 2.41 | — |
Interest Coverage | — | 3.91 | — |
|
Metric
|
RJF
|
LPLA
|
SF
|
|---|---|---|---|
Return on Assets (Normalized) | 2.55% | 9.52% | 2.25% |
Return on Equity (Normalized) | 18.00% | 34.04% | 18.24% |
Return on Invested Capital (Normalized) | — | 16.31% | — |
|
1-Day Chart
|
Name
|
Price
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|---|
| BlackRock Inc
BLK
| Yqwysxqh | Jhsnw | $160B | |||
| Blackstone Inc
BX
| Lnxbbvt | Zjpzp | $150B | |||
| KKR & Co Inc Ordinary Shares
KKR
| Mprywwvm | Cgkpjz | $86B | |||
| Apollo Global Management Inc
APO
| Lkvmdfvh | Sxcvz | $77B | |||
| Brookfield Asset Management Ltd Ordinary Shares - Class A
BAM
| Hkfddnw | Zvskjk | $75B | |||
| State Street Corp
STT
| Wgndzcnt | Tjhb | $46B | |||
| Ameriprise Financial Inc
AMP
| Prjxqtlr | Tnrxbv | $41B | |||
| Northern Trust Corp
NTRS
| Myyshswjjd | Ncpv | $32B | |||
| Ares Management Corp Ordinary Shares - Class A
ARES
| Bcdlfxlh | Jhsjny | $30B |
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United States