Jefferies Group Reports Q3 Profit Amid Missed Estimates

Jefferies Group Inc. reported a significant increase in profit for the third quarter, rising to $167.13 million. However, the earnings per share fell slightly short of analyst expectations, potentially impacting stock prices as revenue also showed impressive growth.

Date: 26-09-2024

AI Rating: 6

Jefferies Group Inc. reported a profit of $167.13 million for the third quarter, representing a substantial increase compared to $51.42 million in the same quarter last year. This translates to an earnings per share (EPS) of $0.75, a significant improvement from the previous year's $0.22.

Despite this positive growth in profit, Jefferies missed analysts' expectations which predicted an EPS of $0.77. Missing analyst estimates can create investor uncertainty, which could lead to fluctuations in stock prices as market participants may adjust their expectations for future performance.

In terms of revenue, Jefferies reported an impressive growth rate of 42.4%, with quarterly revenue reaching $1.683 billion compared to $1.182 billion from the same period last year. This strong revenue growth is a positive indicator and reflects the company’s ability to expand its business despite the earnings miss.

Stocks: JEF