Raymond James Financial (RJF): Is the Stock’s 6.9% Undervaluation Backed by Recent Shareholder Returns?

Simply Wall St

Raymond James Financial (RJF) has seen its stock edge slightly higher recently, with shares closing at $163.69. Over the past year, the stock has delivered a total return of 22%, reflecting steady performance in the context of ongoing industry shifts.

See our latest analysis for Raymond James Financial.

This steady climb in Raymond James Financial’s share price over the past year, combined with a 22% total shareholder return, signals continued investor confidence even as the sector faces new headwinds. Momentum appears to be in the company’s favor, with long-term results that underscore its resilience.

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Given these strong returns and a stock price just below analyst targets, investors may wonder if Raymond James Financial is trading at an appealing valuation or if the market has already priced in future growth potential.

Most Popular Narrative: 6.9% Undervalued

Raymond James Financial’s most widely followed narrative values shares at $175.83, nearly $12 above the last close. The setup is that recent gains may understate what next-level strategic moves are unlocking.

“Successful recruitment and strategic focus on high-net-worth clients are expected to drive future revenue growth and strengthen long-term revenue streams. Investment in AI capabilities and strong loan growth may enhance operational efficiencies, improve net margins, and positively impact future earnings.”

Read the complete narrative.

Curious about what’s powering this narrative’s price target? The secret lies in ambitious assumptions about margin expansion, disciplined recruiting, and a profit trajectory that hints at much bigger numbers by 2028. Click to uncover which forecasts are raising eyebrows and how they influence today’s fair value.

Result: Fair Value of $175.83 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, rising market volatility or unexpected shifts in interest rates could easily undermine the optimistic case built for Raymond James Financial’s future growth.

Find out about the key risks to this Raymond James Financial narrative.

Build Your Own Raymond James Financial Narrative

If you want to take a different approach or prefer digging into the numbers on your own, you can craft your own narrative in just a few minutes. Do it your way

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Raymond James Financial.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Valuation is complex, but we're here to simplify it.

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