Jefferies Financial Group (NYSE:JEF) Shares Gap Down Following Weak Earnings

Shares of Jefferies Financial Group Inc. (NYSE:JEF) gapped down before the market opened on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $61.97, but opened at $59.14. Jefferies Financial Group shares last traded at $62.10, with a volume of 366,651 shares.

The financial services provider reported $0.75 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.78 by ($0.03). Jefferies Financial Group had a return on equity of 5.37% and a net margin of 7.82%. The company had revenue of $1.68 billion for the quarter, compared to analyst estimates of $1.71 billion. During the same quarter in the previous year, the firm posted $0.32 earnings per share. Jefferies Financial Group’s quarterly revenue was up 42.4% compared to the same quarter last year.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on the stock. Morgan Stanley boosted their price target on shares of Jefferies Financial Group from $59.00 to $64.00 and gave the company an “equal weight” rating in a report on Monday. UBS Group initiated coverage on Jefferies Financial Group in a research note on Tuesday, September 17th. They issued a “buy” rating and a $67.00 target price for the company. Oppenheimer raised their price target on Jefferies Financial Group from $64.00 to $66.00 and gave the stock an “outperform” rating in a research report on Friday, September 13th. Finally, StockNews.com cut Jefferies Financial Group from a “buy” rating to a “hold” rating in a report on Friday, June 21st.

Insider Buying and Selling

In related news, Director Mitsui Financial Grou Sumitomo bought 9,247,081 shares of Jefferies Financial Group stock in a transaction that occurred on Thursday, September 19th. The stock was purchased at an average cost of $59.67 per share, with a total value of $551,773,323.27. Following the purchase, the director now owns 9,247,081 shares in the company, valued at $551,773,323.27. The acquisition was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 20.40% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Jefferies Financial Group

A number of hedge funds and other institutional investors have recently bought and sold shares of JEF. Healthcare of Ontario Pension Plan Trust Fund acquired a new position in shares of Jefferies Financial Group during the 2nd quarter worth approximately $1,781,000. Sanctuary Advisors LLC acquired a new position in Jefferies Financial Group in the second quarter valued at approximately $1,215,000. Gordian Capital Singapore Pte Ltd bought a new position in shares of Jefferies Financial Group during the 2nd quarter worth approximately $199,000. Northwestern Mutual Wealth Management Co. boosted its stake in Jefferies Financial Group by 4.6% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 6,765 shares of the financial services provider’s stock worth $337,000 after acquiring an additional 295 shares in the last quarter. Finally, Creative Planning raised its stake in Jefferies Financial Group by 14.3% during the 2nd quarter. Creative Planning now owns 23,924 shares of the financial services provider’s stock worth $1,190,000 after buying an additional 2,995 shares during the period. Institutional investors and hedge funds own 60.88% of the company’s stock.

Jefferies Financial Group Trading Down 0.1 %

The company has a market capitalization of $12.72 billion, a P/E ratio of 34.24 and a beta of 1.32. The business has a fifty day moving average of $57.49 and a 200-day moving average of $49.97. The company has a debt-to-equity ratio of 1.28, a quick ratio of 0.91 and a current ratio of 0.91.

About Jefferies Financial Group

Jefferies Financial Group Inc operates as an investment banking and capital markets firm in the Americas, Europe, the Middle East, and the Asia-Pacific. The company operates in two segments, Investment Banking and Capital Markets, and Asset Management. It provides investment banking, advisory services with respect to mergers or acquisitions, debt financing, restructurings or recapitalizations, and private capital advisory transactions; underwriting and placement services related to corporate debt, municipal bonds, mortgage-backed and asset-backed securities, equity and equity-linked securities, and loan syndication services; and corporate lending services.