Update shared on 21 Nov 2025
Fair value Decreased 2.25%Evercore’s analyst price target has decreased slightly from $355.88 to $347.88. This reflects analysts’ cautious view amid recent earnings volatility and a mixed forward outlook, despite ongoing optimism regarding the improving dealmaking environment and the firm’s strategic position.
Analyst Commentary
Recent analyst commentary on Evercore underscores a nuanced outlook, featuring both optimism on the firm's strategic initiatives and growth prospects, as well as caution regarding present valuation and operational challenges.
Bullish Takeaways
- Bullish analysts highlight Evercore's leveraged position in an accelerating merger and acquisition cycle. This is expected to support revenue growth moving forward.
- Strategic growth initiatives and an attractive valuation are noted as contributing to a favorable risk/reward profile for investors.
- Improvement in the dealmaking environment is viewed as a positive signal, suggesting long-term strength in Evercore's core business segments.
- Projections show that M&A volumes could revert to historic averages in the coming years, which could benefit Evercore's financial performance and lead to upward valuation adjustments.
Bearish Takeaways
- Some analysts remain cautious due to mixed forward commentary on compensation ratio and seasonal factors, with particular focus on the fourth quarter.
- Recent volatility in earnings and the firm's stock price indicates that expectations among investors may be elevated. This elevates downside risk if targets are not met.
- Despite strong earnings results, the market response signals concern regarding the sustainability of growth, especially given uncertain macroeconomic conditions.
- Downward revisions to price targets reflect caution about Evercore's ability to consistently execute and capture value through current market cycles.
What's in the News
- Between July 1, 2025 and October 29, 2025, Evercore repurchased 200,000 shares for $65.96 million, representing 0.52% of its shares. (Key Developments)
- The company has now completed the repurchase of 370,000 shares in total, amounting to 0.96% for $106.19 million under its buyback plan announced on April 30, 2025. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target: Decreased from $355.88 to $347.88, indicating a slightly more cautious outlook.
- Discount Rate: Increased marginally from 8.21% to 8.29%, reflecting slightly higher risk assumptions in forward projections.
- Revenue Growth: Increased from 17.20% to 17.85%, pointing to a modest improvement in future top-line expectations.
- Net Profit Margin: Decreased slightly from 15.05% to 14.81%, suggesting expectations of slightly lower profitability.
- Future P/E: Decreased from 21.01x to 19.04x, indicating a reduction in anticipated market valuation relative to estimated future earnings.
Disclaimer
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