NYSE$RJF

Raymond James Financial Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Raymond James Financial reported record quarterly net revenues driven by higher asset management and investment banking revenues.

Raymond James Financial reported Q4 2020 results with record quarterly net revenues of $2.08 billion, up 3% year-over-year and 13% sequentially. Quarterly net income was $209 million, or $1.50 per diluted share. The company achieved record client assets under administration and financial assets under management.

  • Record quarterly net revenues of $2.08 billion, up 3% over prior year’s fiscal fourth quarter and 13% over the preceding quarter
  • Quarterly net income of $209 million, or $1.50 per diluted share, and adjusted quarterly net income of $249 million, or $1.78 per diluted share
  • Record quarter-end for client assets under administration of $930.1 billion and financial assets under management of $153.1 billion
  • Record 8,239 Private Client Group financial advisors, net increases of 228 over September 2019 and 84 over June 2020

Headline financials

Total Revenue

$2.08B

Previous: $2.02B+2.8%
EPS (adj)

$1.19

Previous: $1.33-10.5%
Client AUA

$883B

Previous: $798B+10.6%
PCG Fee-Based AUA

$475B

Previous: $409B+16.2%
Capital Expenditures

$27M

Previous: $36M-25.0%
Free Cash Flow

$1.37B

Previous: $642M+113.7%
Net Income

$209M

Previous: $265M-21.1%
Operating Income

$256M

No prior period
Gross Profit

$7.66B

Previous: $7.43B+3.2%
Cash & Equivalents

$5.39B

Previous: $3.96B+36.2%
Total Assets

$47.5B

Previous: $38.8B+22.3%
Stock-Based Comp

$23M

Previous: $24M-4.2%

Revenue & EPS history

Raymond James · Revenue · Quarterly

$2.08B

Q4 2020+2.8%vs Q4 2019
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Raymond James · $2.15B total across 4 segments · Q4 2020

  • Private Client Group
    $1.39B+0.9%
  • Capital Markets
    $410M+35.8%
  • Asset Management
    $184M+3.4%
  • Raymond James Bank
    $161M-25.5%

Forward guidance

Raymond James is well positioned entering fiscal 2021, with strong capital ratios and quarter-end records for client assets and the number of Private Client Group financial advisors.

Tailwinds

  • Financial advisor recruiting activity remains robust across all of our affiliation options
  • Investment banking pipelines are strong
  • Strong capital ratios
  • Quarter-end records for client assets
  • Record number of Private Client Group financial advisors

Headwinds

  • High degree of economic uncertainty associated with the ongoing COVID-19 pandemic
  • Continued headwinds from near-zero short-term interest rates
  • Closings may be affected if economic conditions deteriorate.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+0.1%

Avg return

Earnings day

+0.0%

Avg return

5 days after

+3.1%

Avg return

30 days after

52%

36 / 69 earnings

Positive

+10.2%

Q2 2016

Best reaction

-8.9%

Q4 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-1.5%+0.8%-2.0%
Q1 2026+1.5%-1.3%-9.0%
Q4 2025-0.6%-3.8%-7.9%
Q3 2025-0.8%-1.3%+3.4%
Q2 2025+0.2%+2.7%+2.6%
Q1 2025-0.8%-4.3%-10.1%
Q4 2024+8.2%+8.8%+21.3%
Q3 2024+5.5%+3.3%+4.5%
Q2 2024-4.1%-3.1%-1.0%
Q1 2024+0.4%-1.0%+4.5%
Q4 2023+1.8%+0.9%+11.4%
Q3 2023-1.5%-0.0%-7.1%
Q2 2023-2.2%-1.8%+2.0%
Q1 2023-3.1%-4.5%-7.9%
Q4 2022+8.8%+12.8%+14.1%
Q3 2022+1.2%+4.7%+13.3%
Q2 2022+4.0%-1.6%-0.8%
Q1 2022+4.2%+9.4%+16.0%
Q4 2021-2.7%-2.7%-3.7%
Q3 2021+1.5%+1.1%+10.8%
Q2 2021+1.1%+1.0%+1.5%
Q1 2021+1.0%+3.8%+18.3%
Q4 2020-3.4%+0.3%+18.5%
Q3 2020-1.3%+2.0%+9.6%
Q2 2020-3.3%-8.3%+1.7%
Q1 2020-5.6%-7.3%+1.0%
Q4 2019+1.0%+2.0%+6.4%
Q3 2019-3.3%-4.7%-11.3%
Q2 2019+0.8%+2.3%-3.0%
Q1 2019+0.9%+2.0%+4.8%
Q4 2018-8.9%-12.1%-7.6%
Q3 2018-3.4%-5.7%-5.4%
Q2 2018+3.4%+3.3%+14.5%
Q1 2018-0.7%+0.4%-5.3%
Q4 2017-2.0%-1.6%-1.6%
Q3 2017-2.7%-2.1%-7.3%
Q2 2017-0.4%-0.3%-2.0%
Q1 2017+3.9%+1.8%+5.7%
Q4 2016+5.8%+2.7%+23.8%
Q3 2016+1.5%+2.2%+6.2%
Q2 2016+10.2%
Q1 2016-7.7%
Q4 2015+1.0%
Q3 2015-0.8%
Q2 2015+1.4%
Q1 2015+4.2%
Q4 2014+1.9%
Q3 2014+2.4%
Q2 2014-2.0%
Q1 2014-2.0%
Q4 2013+2.2%
Q3 2013-0.8%
Q2 2013-8.6%
Q1 2013+3.4%
Q4 2012+2.9%
Q3 2012-2.5%
Q2 2012+5.0%
Q1 2012+0.4%
Q4 2011-3.3%
Q3 2011-2.6%
Q2 2011-1.0%
Q1 2010+1.1%
Q1 2011+0.2%
Q2 2010+1.1%
Q4 2008+1.1%
Q4 2010+1.1%
Q4 2009-0.8%
Q3 2010-0.8%
Q3 2009-0.8%

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