NYSE:PJC

Stock Analysis Report

Executive Summary

Piper Jaffray Companies operates as an investment bank and asset management firm that serves corporations, private equity groups, public entities, non-profit entities, and institutional investors in the United States and internationally.

Snowflake

Fundamentals

Fair value second-rate dividend payer.


Similar Companies

Share Price & News

How has Piper Jaffray Companies's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.7%

PJC

2.4%

US Capital Markets

1.0%

US Market


1 Year Return

2.8%

PJC

4.8%

US Capital Markets

8.0%

US Market

Return vs Industry: PJC matched the US Capital Markets industry which returned 4.8% over the past year.

Return vs Market: PJC underperformed the US Market which returned 8% over the past year.


Shareholder returns

PJCIndustryMarket
7 Day2.7%2.4%1.0%
30 Day-4.6%-1.8%-0.07%
90 Day-2.7%-2.2%-1.0%
1 Year4.9%2.8%7.1%4.8%10.4%8.0%
3 Year53.9%43.2%52.4%43.8%46.2%36.7%
5 Year47.9%37.6%77.3%61.1%64.3%46.2%

Price Volatility Vs. Market

How volatile is Piper Jaffray Companies's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Piper Jaffray Companies undervalued compared to its fair value and its price relative to the market?

14.4x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate PJC's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate PJC's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: PJC is good value based on its PE Ratio (14.4x) compared to the Capital Markets industry average (31.8x).

PE vs Market: PJC is good value based on its PE Ratio (14.4x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate PJC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PJC is good value based on its PB Ratio (1.5x) compared to the US Capital Markets industry average (6.3x).


Next Steps

Future Growth

How is Piper Jaffray Companies forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

14.7%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if PJC's forecast earnings growth is above the savings rate (2.7%).

Earnings vs Market: Insufficient data to determine if PJC's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PJC's revenue (14.7% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: PJC's revenue (14.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PJC's Return on Equity is forecast to be low in 3 years time (14.6%).


Next Steps

Past Performance

How has Piper Jaffray Companies performed over the past 5 years?

-31.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PJC's earnings have declined by -31.6% per year over the past 5 years.

Accelerating Growth: PJC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PJC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Capital Markets industry (29.3%).


Return on Equity

High ROE: PJC's Return on Equity (11.1%) is considered low.


Return on Assets

ROA vs Industry: PJC has a higher Return on Assets than the Capital Markets industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate PJC's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is Piper Jaffray Companies's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: PJC has a low level of unsold assets or inventory.

Debt Coverage by Assets: PJC's debt is covered by short term assets (assets are 14.079690x debt).


Financial Institutions Analysis

Asset Level: PJC's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if PJC has a sufficient allowance for bad loans.

Low Risk Liabilities: PJC reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if PJC has an acceptable proportion of non-loan assets held.

Low Risk Deposits: PJC has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if PJC has an appropriate level of bad loans.


Next Steps

Dividend

What is Piper Jaffray Companies's current dividend yield, its reliability and sustainability?

3.40%

Current Dividend Yield


Dividend Yield vs Market

company3.4%marketbottom25%1.4%markettop25%3.7%industryaverage2.1%forecastin3Years3.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: PJC's dividend (3.4%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: PJC's dividend (3.4%) is low compared to the top 25% of dividend payers in the US market (3.68%).

Stable Dividend: Whilst dividend payments have been stable, PJC has been paying a dividend for less than 10 years.

Growing Dividend: PJC's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (29.3%), PJC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PJC's dividends in 3 years are forecast to be well covered by earnings (37.5% payout ratio).


Next Steps

Management

What is the CEO of Piper Jaffray Companies's salary, the management and board of directors tenure and is there insider trading?

4.3yrs

Average management tenure


CEO

Chad Abraham (50yo)

1.8yrs

Tenure

US$5,389,867

Compensation

Mr. Chad Richard Abraham has been the Chief Executive Officer of Piper Jaffray Companies since January 2018 and is its Chairman since May 17, 2019. Mr. Abraham served as co-head of global investment bankin ...


CEO Compensation Analysis

Compensation vs. Market: Chad has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.

Compensation vs Earnings: Chad's compensation has been consistent with company performance over the past year.


Management Age and Tenure

4.3yrs

Average Tenure

51yo

Average Age

Experienced Management: PJC's management team is considered experienced (4.3 years average tenure).


Board Age and Tenure

3.8yrs

Average Tenure

59yo

Average Age

Experienced Board: PJC's board of directors are considered experienced (3.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Tom Schnettler (62yo)

    Vice Chairman & MD of Merchant Banking

    • Tenure: 16.5yrs
    • Compensation: US$1.45m
  • Chad Abraham (50yo)

    Chairman & CEO

    • Tenure: 1.8yrs
    • Compensation: US$5.39m
  • Frank Fairman (61yo)

    Head of Public Finance Services & MD

    • Tenure: 14.3yrs
    • Compensation: US$1.16m
  • James Baker (51yo)

    MD & Global Co-Head of Investment Banking & Capital Markets

    • Tenure: 0.8yrs
  • Scott Larue (58yo)

    MD & Global Co-Head of Investment Banking & Capital Markets

    • Tenure: 9yrs
    • Compensation: US$4.31m
  • Tim Carter (52yo)

    Chief Financial Officer

    • Tenure: 1.8yrs
    • Compensation: US$1.03m
  • Deb Schoneman (50yo)

    President

    • Tenure: 1.1yrs
    • Compensation: US$3.25m
  • John Geelan (43yo)

    General Counsel & Secretary

    • Tenure: 6.8yrs
    • Compensation: US$815.48k
  • Christine Esckilsen (50yo)

    Chief Human Capital Officer & MD

    • Tenure: 0yrs
  • Shawn Quant

    MD & Chief Information Officer

    • Tenure: 0yrs

Board Members

  • Phil Soran (62yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: US$184.57k
  • Sherry Smith (57yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$165.90k
  • Vicki Holt (61yo)

    Director

    • Tenure: 0.08yrs
  • Bill Fitzgerald (62yo)

    Independent Director

    • Tenure: 5.6yrs
    • Compensation: US$151.60k
  • B. Johnson (67yo)

    Independent Director

    • Tenure: 15.8yrs
    • Compensation: US$148.56k
  • Tad Piper (72yo)

    Independent Director

    • Tenure: 15.8yrs
    • Compensation: US$155.53k
  • Chad Abraham (50yo)

    Chairman & CEO

    • Tenure: 1.8yrs
    • Compensation: US$5.39m
  • Tom Schreier (57yo)

    Director

    • Tenure: 1.1yrs
    • Compensation: US$107.43k
  • Scott Taylor (55yo)

    Independent Director

    • Tenure: 5.7yrs
    • Compensation: US$162.16k
  • Deb Schoneman (50yo)

    President

    • Tenure: 1.1yrs
    • Compensation: US$3.25m

Company Information

Piper Jaffray Companies's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Piper Jaffray Companies
  • Ticker: PJC
  • Exchange: NYSE
  • Founded: 1895
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: US$1.048b
  • Shares outstanding: 14.20m
  • Website: https://www.piperjaffray.com

Number of Employees


Location

  • Piper Jaffray Companies
  • 800 Nicollet Mall
  • Suite 1000
  • Minneapolis
  • Minnesota
  • 55402
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PJCNYSE (New York Stock Exchange)YesCommon StockUSUSDDec 2003
PJRDB (Deutsche Boerse AG)YesCommon StockDEEURDec 2003

Biography

Piper Jaffray Companies operates as an investment bank and asset management firm that serves corporations, private equity groups, public entities, non-profit entities, and institutional investors in the Un ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 23:50
End of Day Share Price2019/10/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.