Investment banking firm PJT Partners (NYSE: PJT) will be reporting results this Tuesday morning. Here’s what to look for.
PJT beat analysts’ revenue expectations last quarter, reporting revenues of $486.3 million, up 19.5% year on year. It was an incredible quarter for the company, with a beat of analysts’ EPS and EBITDA estimates.
Is PJT a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting PJT’s revenue to decline 12.8% year on year, a reversal from the 37% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. PJT has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at PJT’s peers in the investment banking & brokerage segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Goldman Sachs delivered year-on-year revenue growth of 23%, beating analysts’ expectations by 11.5%, and Evercore reported revenues up 12.5%, topping estimates by 32.1%. Goldman Sachs traded down 1.7% following the results while Evercore was up 14.5%.
Read our full analysis of Goldman Sachs’s results here and Evercore’s results here.
There has been positive sentiment among investors in the investment banking & brokerage segment, with share prices up 3% on average over the last month. PJT is up 8.5% during the same time and is heading into earnings with an average analyst price target of $161.11 (compared to the current share price of $149.70).
WHILE YOU’RE HERE: The Next Palantir? One satellite company captures images of every point on Earth. Every single day. The Pentagon wants it. Hedge funds are using it to beat earnings. You’ve probably never heard of it.
This is what the early days of Palantir looked like before it became a giant. Same playbook. Different technology. If you missed Palantir, you need to see this. Claim The Stock Ticker for Free HERE.
