EVR

It has been about a month since the last earnings report for Evercore (EVR). Shares have lost about 6.6% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Evercore due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for Evercore Inc before we dive into how investors and analysts have reacted as of late. Evercore reported second-quarter 2026 adjusted earnings per share of $2.91, missing the Zacks Consensus Estimate of $3.02. However, the bottom line compared favorably with the prior-year quarter’s $2.42. Results were pressured by higher expenses. However, growth in revenues from the Investment Banking & Equities and Investment Management segments helped offset some of the impact. Additionally, the increase in assets under management provided further support to the overall performance. The results include certain non-recurring items. After considering this, net income attributable to common shareholders (GAAP basis) was $95.3 million, down from $97.2 million in the year-ago quarter. In the second quarter of 2026, the company reported record net revenues (adjusted) of $999.5 million, beating the Zacks Consensus Estimate of $993.5 million by 0.6%. The top line increased 19.2% from $838.9 million in the year-ago quarter. Total expenses increased 23.4% year over year to $843.6 million. The rise reflected increases in employee compensation and benefits, and non-compensation costs, along with special charges related to an estimated loss provision for non-U.S. employment taxes for prior periods. The adjusted compensation ratio was 63.5%, down from 65.4% in the prior-year quarter. The adjusted operating margin was 19%, up from 18.7% in the prior-year quarter. Investment Banking & Equities: Net revenues increased 19.1% year over year to $966.9 million. This rise was primarily due to increases in advisory fees, underwriting fees, and commissions and related revenues. However, operating income declined 2.4% to $142.5 million from $146 million in the year-ago quarter. Investment Management: Net revenues were $23.3 million, up 7.7% from the prior-year quarter. Operating income was $4.1 million, down 7.6% year over year. AUM was $16.2 billion as of June 30, 2026, growing 12% year over year. As of June 30, 2026, cash and cash equivalents were $1.3 billion, and investment securities and certificates of deposit were $1.1 billion. Current assets exceeded current liabilities by $1.9 billion as of the same date. Amounts due related to the notes payable were $540 million as of June 30, 2026. In the reported quarter, Evercore repurchased an aggregate of 0.3 million shares at an average price of $339.79 per share. It turns out, fresh estimates have trended downward during the past month. Currently, Evercore has a great Growth Score of A, though it is lagging a bit on the Momentum Score front with a B. Following the exact same course, the stock was allocated a score of B on the value side, putting it in the second quintile for this investment strategy. Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Evercore has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Evercore belongs to the Zacks Financial - Investment Bank industry. Another stock from the same industry, Raymond James Financial, Inc. (RJF), has gained 0.7% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026. Raymond James Financial reported revenues of $3.93 billion in the last reported quarter, representing a year-over-year change of +15.6%. EPS of $3.14 for the same period compares with $2.18 a year ago. For the current quarter, Raymond James Financial is expected to post earnings of $3.38 per share, indicating a change of +8.7% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.3% over the last 30 days. Raymond James Financial has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Evercore Inc (EVR) : Free Stock Analysis Report Raymond James Financial, Inc. (RJF) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Jenna O’Malley/PitchBook News The subject of artificial intelligence featured prominently in investment banks’ second-quarter earnings calls. Equity analysts were keen to know the impact the technology was having on the M&A market and on banks’ own businesses, and how much implementing the technology is likely to cost. Here are some highlights from the earnings calls of the boutique banks that drive sponsor-backed deal flow. John Weinberg, Evercore chairman and CEO “AI is the source of a great deal of M&A discussion.” On the one hand, Weinberg said, the rapid spread of AI technology is making strategic buyers question whether they need to make “stronger and bigger” acquisitions to compete with their peers. On the other hand, Evercore’s restructuring business is holding more conversations with software companies whose valuations have taken a hit and are considering restructuring their debt, extending maturities or raising further capital. The pause in the software M&A market, triggered by the AI-induced pricing correction in February and March, has abated, with more sponsors considering the sale of their best tech assets, Weinberg said. Paul Taubman, chairman and CEO of PJT Partners “There’s no doubt that not everyone will be a winner.” This means more take-privates of “healthy companies that can’t seem to regain their prior valuations” and more companies feeling they need to be part of a bigger entity to protect their business models, Taubman said. AI will also exacerbate a problem that private equity firms thought was fading: the challenge of generating distributions for investors, Taubman said. This could drive monetization activity through means other than selling businesses outright, such as continuation fund deals, which allow PE firms to extend their hold on businesses while providing an off-ramp for investors who want it. PJT also expects to benefit from the need for more “creative financings” of data center projects, which involve capital markets teams and industry bankers working together. Peter Orszag, CEO and chairman of Lazard “The tools continue to advance quite rapidly.” Lazard is already using AI to match strategic investors with sources of private capital, including insurance money, Orszag said. The acquisition of Campbell Lutyens, a boutique investment bank focused on helping PE firms raise funds and execute secondary deals, will give Lazard a richer dataset to focus its machine learning tools on and provide “commercially relevant and valuable” information on fund managers and institutional investors, he said. Orszag also talked about using AI to serve clients in “new and innovative ways.” He did not elaborate on how this might work. Scott Adelson, CEO of Houlihan Lokey “A 10% improvement is the enemy of a 10x improvement.” Adelson said members of the executive team at Houlihan Lokey are “big believers” in AI’s potential. The bank is looking to adopt tools with transformative potential, rather than making incremental improvements, Adelson said. Adelson said that AI is already driving down pricing in some of its businesses, including in its valuations business, one of the largest in the sponsor-backed market. At the same time, AI has led to a massive expansion of the total addressable market for Houlihan’s valuations team, driving strong growth even with weaker pricing power. Chad Abraham, chairman and CEO of Piper Sandler Companies “I think we’re gonna continue to be measured given how quickly that technology is evolving.” Piper Sandler has been “rolling things out in batches rather than wholesale” and auditing the effectiveness of these AI tools as they go along, Abraham said. The rollout of AI will contribute to higher costs in 2026 and 2027, added President Deb Schoneman. “I think it’s just about good hygiene, good control, good transparency internally in terms of how we’re choosing to deploy those resources,” she said. This article originally appeared on PitchBook News

Image source: The Motley Fool. Wednesday, July 29, 2026 at 8:00 a.m. ET Head of Investor Relations - Katy Haber Chairman and Chief Executive Officer - John Weinberg CFO - Timothy LaLonde Operator: Good morning, and welcome to Evercore's Second Quarter 2026 Earnings Conference Call. Today's call is scheduled to last about 1 hour, including remarks by Evercore management and the question-and-answer session. I will now turn the call over to Katy Haber, Head of Investor Relations at Evercore. Please go ahead. Katy Haber: Thank you, operator. Good morning, and thank you for joining us today for Evercore's Second Quarter 2026 Financial Results Conference Call. I'm Katy Haber, Evercore's Head of Investor Relations. Joining me on the call today is John Weinberg, our Chairman and CEO; and Tim LaLonde, our CFO. After our prepared remarks, we will open up the call for questions. Earlier today, we issued a press release announcing Evercore's second quarter 2026 financial results. Our discussion of our results today is complementary to the press release, which is available on our website at evercore.com. This conference call is being webcast live in the For Investors section of our website, and an archive of it will be available for 30 days beginning approximately 1 hour after the conclusion of this call. During the course of this conference call, we may make a number of forward-looking statements. Any forward-looking statements that we make are subject to various risks and uncertainties, and there are important factors that could cause actual outcomes to differ materially from those indicated in these statements. These factors include, but are not limited to, those discussed in Evercore's filings with the SEC, including our annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. I want to remind you that the company assumes no duty to update any forward-looking statements. In our presentation today, unless otherwise indicated, we will be discussing adjusted financial measures, which are non-GAAP measures that we believe are meaningful when evaluating the company's performance. For detailed disclosures on these measures and the GAAP reconciliations, you should refer to the financial data contained within our press release, which is posted on our website. We continue to believe that it is important to evaluate Evercore's performance on an annual basis. As we've noted previously, our results for any particular quarter are influenced by the timing of transaction closing. I will now turn the call over to John. John Weinberg: Thank you, Katy, and good morning, everyone. Our record second quarter revenues capped off a record first half for the firm, underscoring the strength of our platform and strategy. For the quarter, we generated $1 billion of adjusted net revenues and adjusted diluted earnings per share of $2.91, up 19% and 20%, respectively, from the second quarter of last year. And for the first half, our revenues were $2.4 billion, up 56% year-over-year. Performance in the quarter continued to be broad-based across nearly all of our businesses with record second quarter revenues in our North American Strategic Advisory business, the Private Funds Group and the equities business. And it was the best quarter ever for Underwriting and Wealth Management. Our results reflect the strength of our client franchise, the benefits of our diversified business model and the continued execution of our long-term strategy despite pockets of market uncertainty experienced throughout the year. Global industry-wide announced M&A activity remains healthy and is currently tracking well above last year's year-to-date levels, which was the second most active. Large-cap strategic M&A remains the primary driver of activity, while middle market and sponsor-related deals, though active, continue to run below historical levels. Equity markets have been resilient, reaching all-time highs in the quarter and broader financing markets remain active. All in all, the building blocks are in place for a healthy deal-making environment. As it relates to Evercore, we continue to see solid activity across a broad range of sectors, products and geographies. Looking ahead to the second half of the year, client engagement remains strong, and our backlog currently sits near record levels, though, as is always the case, the timing of backlog conversion into revenue can vary from quarter-to-quarter, and it is best to evaluate our business on a longer-term basis. We believe the M&A cycle has further room to run over the medium to longer term, supported by both large cap activity and increased participation from financial sponsors in the middle market. We are also seeing more companies pursue M&A to achieve scale and to respond to the technological transformation and disruption brought on by AI, which we expect to be a driver of activity across a number of sectors over time. While the market backdrop remains dynamic, we are encouraged by the outlook for our business and expect to see continued activity in the latter part of this year and into next. Turning to talent. Since our last earnings call, 4 senior managing directors have joined our investment banking practice in health care, industrials, private capital advisory and our private capital markets group, all based in New York. Further, 7 additional SMDs have committed to join our growing global investment banking franchise in key areas, including restructuring in the U.S. and Europe, health care, chemicals and equity capital markets as well as 2 new hires based in our Frankfurt office. As of today, we have 19 new SMD additions year-to-date, 11 external hires, including those that have committed but not yet joined and 8 internal promotions. That brings the total of SMDs in our global investment banking practice to 188 with more than 50 currently ramping. In addition, we had 1 SMD join our equities business in equity trading. Investing in talent is core to our strategy, and we remain committed to thoughtfully expanding our platform over time. Now let me turn to our businesses. In North America Strategic Advisory, activity was robust in nearly all sectors with particular strength in health care, technology and industrials. While industry-wide announcement trends among financial sponsors are still below historical average levels, our sponsor-related activity is up meaningfully year-over-year as we expand our coverage effort with that client base. Our EMEA Strategic Advisory business had a strong quarter and a record first half. In 2025, we announced the Robey Warshaw transaction. And we also established local presence in new European markets. Our enhanced and integrated teams across the region are seeing a real pickup in activity. Our strategic defense and shareholder advisory group continue to be busy as activist campaigns push companies to explore sales and strategic reviews. Globally, in the second quarter, we advised on a number of significant transactions, including Arcosa's $8.5 billion sale to CRH, Iridium Communications $8 billion sale to Rocket Lab, National Grid's $1.75 billion investment in Joulent and Victoria's Secret in its successful proxy fight against BBRC. We also continued to see strong performance across our non-M&A businesses, which generated more than 40% of total revenues over the last 12 months as of the second quarter. Liability management and restructuring business maintained strong activity and dialogue levels consistent with trends we have seen. Our private capital markets and debt advisory team remains active with particular strength in structured equity transactions and securitizations as clients continue to seek innovative capital solutions. Private Capital Advisory maintained its position as the market-leading business in this space and delivered another strong quarter. Our Private Funds Group delivered a record second quarter even as the fundraising market remains subdued, driven by continued strong demand for the highest quality funds. Our Equity Capital Markets business had its best quarter ever, supported by more receptive issuance markets and strong investor demand. We served as an active book runner on 19 transactions with a balanced mix of IPOs and follow-on offerings and benefited from a resurgence in health care activity as well as strength across several other sectors. In the second quarter, we were active bookrunner on Parabilis Medicine's $771 million IPO, the largest biotech IPO of all time and lead left bookrunner on Red Cat's $259 million follow-on offering. Our equities business had record second quarter revenues as our team continues to deliver best-in-class content, corporate access and execution services to our institutional client base. And finally, our Wealth Management business delivered its best revenue quarter and finished with quarter end AUM of $16.2 billion. In summary, our record first half results reflect the breadth and durability of our platform and the continued execution of our long-term strategy. We remain encouraged by the level of client dialogue and engagement we are seeing across our global franchise. We continue to invest in our business, positioning us to capture opportunities as they emerge. With that, let me turn it over to Tim. Timothy LaLonde: Thank you, John. We are pleased with our results, which reflect the progress we have made growing and strengthening our firm and diversifying our revenue streams. For the second quarter of 2026, net revenues, operating income and EPS on a GAAP basis were $990 million, $147 million and $2.32 per share, respectively. My comments from here will focus on non-GAAP metrics, which we believe are useful when evaluating our results. Our standard GAAP reporting and a reconciliation of GAAP to adjusted results can be found in our press release, which is on our website. Our adjusted net revenues of approximately $1 billion were a record for the second quarter, up 19% versus a year ago. Throughout the quarter, activity levels and revenues strengthened relative to our expectations at the start of the quarter as the market environment experienced some improvement and deal activity increased. We have consistently said that our business, both revenues and expenses should be evaluated across multiple quarters, and that continues to be the case. For the first half of 2026, approximately $2.4 billion, up 56% versus the first half of last year and represents a record first half for the firm. Adjusted operating income was $190 million for the second quarter and $544 million for the first half, up 21% and 99%, respectively. Adjusted earnings per share were $2.91 for the second quarter and $10.48 for the first half, up 20% and 77% year-over-year, respectively. Our adjusted operating margins for the second quarter and first half were 19% and 22.7%, respectively. Turning to the businesses. Adjusted advisory fees were approximately $776 million in the quarter, up 11% year-over-year. For the first half, advisory revenues were up 61%. Our advisory revenues are a record for the second quarter with strength across nearly every area as well as increased productivity levels. Underwriting fees of $97 million represented our best quarter to date, increased 201% from the prior year period. In the first half, underwriting revenues were up 76%. The strength was driven by robust follow-on and IPO issuance. Commissions and related revenue was $64 million, a record second quarter and up 9% year-over-year. Adjusted asset management and administration fees were approximately $25 million, up 15% versus the prior year. Adjusted other revenue net was approximately $39 million, with a little over half due to gains on our DCCP hedge portfolio as equity markets rallied in the quarter and a little less than half due to interest income. Turning to expenses. Our adjusted compensation ratio for the quarter was 63.5%, down approximately 190 basis points from the second quarter of last year and down approximately 50 basis points from last quarter. We remain focused on making gradual progress over time and balancing that with continued investment in our business. Adjusted non-compensation expenses were $175 million, resulting in a 17.5% non-comp ratio. While this is up significantly from last quarter and from the year ago quarter, like revenues, non-comp expenses and ratios are best evaluated across multiple quarters. Our non-comp expense ratio for the first 6 months is 13.5%. Nonetheless, the increase for the quarter was larger than normal and is primarily due to investments that are intended to yield near-term results for the firm, such as conferences and client events or expenses incurred in deal pitching and execution. Also, investments that are intended to build our business with medium- to longer-term results such as technology, including AI and data management strategies, search and placement fees related to SMD and non-SMD hiring and occupancy costs related to offices for our growing team of professionals. Further, there is some element of seasonality or episodic costs, which we expect may be reduced in coming quarters. For the full year, we would expect to see a modestly higher growth rate in non-comps relative to what we have experienced over the last couple of years. We are striving to achieve an annual non-comp ratio that is approximately in line with what we achieved last year. Our adjusted tax rate for the quarter was 29.4% compared to 30% a year ago. We anticipate that our effective tax rate for the remaining quarters of the year will be similar to what we have experienced in those quarters over the last few years. Turning to our balance sheet. As of June 30, our cash and investment securities totaled nearly $2.4 billion. In the quarter, we returned a total of $150 million of capital through the repurchase of approximately 330,000 shares and the payment of dividends. For the first half of the year, we have returned a total of $823 million, of which $734 million was through share repurchases at an average price of approximately $325 per share. We have already surpassed the full year record for share repurchases based on dollar amount. Our second quarter adjusted diluted share count was 43.7 million shares, down over 730,000 shares from the first quarter. We continue to maintain a strong cash position, which enables us to meet regulatory, capital and operating requirements while providing us with the resources to implement our strategic plan. As we enter the second half of the year, our business remains healthy. We are confident in our plan and optimistic about the opportunities that lie ahead as we remain committed to investing in our business and creating value for our shareholders over time. With that, we will now open the line for questions. Operator: Our first question will come from Steven Chubak with Wolfe Research. Steven Chubak: Tim, I was hoping to double-click into some of your comments around non-comps, just given the bulk of non-comps admittedly are fixed, it's a big driver of operating leverage for you and peers historically. I recognize that some of the investments will be episodic, but the headcount growth is up 10% year-on-year, Senior MD count is up mid- to upper teens and the non-comps are up 30% year-to-date on a year-on-year basis. So thinking about all the areas that you're looking to invest more heavily, still trying to understand, given some of the items you cited might appear to be table stakes, why you're not seeing more non-comp leverage relative to your peers? And is there anything we can infer about the second half ramp in activity given the near record backlog and the fact that you tethered to deal pitches, which you referenced earlier? Timothy LaLonde: Yes, sure. There's a lot packed into that, but happy to tackle it. First, let me take a moment to reiterate or reframe that people have heard often from us, including on this call, which is our business needs to be evaluated on a multi-quarter basis. And our comp ratio (sic) [ non-comp ratio ] for the quarter is, of course, 17.5%. We're not happy with that. For the first half, it's 13.5%, okay? That would be the first point. This compares to a pre-COVID non-comp ratio of more than 17% -- also in my prepared remarks, I mentioned that we would expect the growth rate in non-comps this year to be modestly higher than what we experienced the last few years and that we are striving to finish with a non-comp ratio that's approximately similar or in line with what we experienced last year. And then to remind folks last year, it was 14.2%. And so those are the first things, which is multi-quarter, 13.5% for the first half, and we're expecting something more in line with what we achieved last year. Now let me double back on the increases we did have. First, and this is important, the majority of this is investments in our company for growth. Some of that growth is realized in the very near term. That's related to things like conferences, client events, deal pitches, deal execution, which result in travel and professional fees. So some of that is just related to what we expect to be near-term revenue and near-term increased activity. Second, investments that provide returns in the medium term. That's client hires. You mentioned senior MDs up. This year, we've added 11 through external hires. We promoted 8 internally. That's 19 more. We've got 50 who are ramping. That's a lot. And beyond that, we, of course, can hardly turn on the news or pick up a magazine without reading about AI and technology. And we have doubled down on our investment there. We added a terrific new Chief Information Officer in 2025. We built out a senior team around him. We have a number of projects. We expect that those projects will pay dividends for us over the coming years. And so that's the next point. And then as you mentioned, and I mentioned in my prepared remarks, there are episodic items. And so -- or items that are seasonal in nature, and those include things like the arrival of our interns and certain conferences and/or offsites that happen to be held in that quarter. And so we're hopeful that those are not going to be things that we're going to either see or see in the same magnitude over the next several quarters. And so we should get some help there as well. And so there's nothing really overly complicated. It's really just that simple. multi-quarter and half for the first half, something similar to last year for the full year is what we're striving for. And what we -- the increases you are seeing are primarily due to investments and then to a lesser extent, to things that we hope will either be smaller or not present in some of the upcoming quarters. That's that. And I think you asked about second half ramp on revenues as well. And John, I don't know if you want to maybe share some thoughts on that, and then I can chime in, but. John Weinberg: Sure. On the second half, we are looking at really a very strong second half. We are seeing substantial client engagement. It remains very strong. Backlogs continue at near record levels, which are also echoed by engagement letters and conflict checks, and we're very encouraged by the business and the outlook for our business. And we expect continued strong performance through the year and into next year. Timothy LaLonde: Yes. The only thing I might add to that is as you're thinking about comparative results, just recall that 3Q and 4Q last year were both record quarters. Operator: Our next question comes from James Yaro with Goldman Sachs. James Yaro: So it feels like there's a two-speed in investment banking or M&A market right now with large-cap strategics outperforming the mid-caps and sponsors. I was hoping you could perhaps provide a little bit of additional color around the mid-cap and sponsor component of the M&A market and what you think actually gets that to improve more fully and perhaps any sense of time line as well? John Weinberg: Absolutely. So we're seeing increased activity, both in the mid-cap area as well as sponsors. It is not clear that this is going to drive an open the dams type rally in these sectors. But clearly, there is real activity, and there's a lot of movement in terms of -- especially in sponsors, there's a lot of dialogue and thought about when is the opportunity going to come and when are people going to really start moving. Our business is actually in a very good place. We've added substantial numbers of people in sponsors in sponsor coverage. And our pitch rate is up substantially from where it was this time last year, and our win rate is also up. So we're seeing sponsor activity up in a material way. In addition, we've continued to invest in bringing together our private capital advisory businesses and our classic sponsor M&A business, and we're seeing some real fruits to that labor. So our sponsor business seems to be in a very good place, and we're actually very optimistic about where that is going. Several players in the middle markets. And what we're seeing is that the dialogues are quite healthy. They certainly aren't following the very strong large cap strategics, but there's a lot of dialogue and activity that we feel is going to continue to build the strength of that sector. So all in all, those 2 sectors, we see as a build. Operator: Our next question will come from Brennan Hawken with BMO Capital Markets. Brennan Hawken: Tim and John, you spoke to the strength in the business. Tim, you spoke to tough comps in the back half of '25. But typically, we see the second half revenue exceed the first half revenue for you just given the seasonality of the business. The first half was -- had the first quarter, which was remarkably strong, especially for the first quarter. Is it still reasonable to think that the back half revenues can exceed the first half? Or is that going to just be too tough a comp in addition to the back half of '25 being tough? Timothy LaLonde: Yes. Brennan, thanks for the question. I think the way I'd think about it is it is the case if you look back at our historical quarterly revenues for the last, let's call it, decade, to the best of my recollection, I think the fourth quarter is just about always been the best of those 4 quarters. As you mentioned, first quarter also was an extraordinary quarter at $1.4 billion, which is the biggest quarter in the history of the firm and $100 million higher than our fourth quarter last year. And look, we stopped short of giving revenue guidance. And so I don't want to go too much further than that other than to say, as John said in his remarks, we have near record levels of backlogs. Activity levels are good. We feel good about our business and a continued gradual build, particularly into the latter part of this year and next year. But particularly given uncertainties that always exist in the environment, going to stop short of being any more specific than that. John Weinberg: But what I would say, Brennan, is that the dialogue levels, the deals that are in-house and the likelihood of these deals coming to fruition is all quite strong. And so we feel good about the tone of the business. As Tim said, we can't predict, and we're certainly not going to give guidance. But I think the business is healthy. Operator: Our next question will come from Devin Ryan with Citizens Bank. Neo Eloff: This is Neo Eloff on for Devin. The question we got is just, kind of, on how AI is impacting both buyer and seller expectations and, kind of, how that's maybe evolved over the past few months. Obviously, software has been an area that's been heavily affected. And so maybe you can discuss that as well as kind of some of the other verticals. And then maybe if you can give some insight into how spreads are tightening or whether you're seeing that or not? John Weinberg: What was the last part of that question? Timothy LaLonde: Whether spreads are tightening. John Weinberg: Okay. So let me start with software. Obviously, there was a pause in the market for software several months ago. And what we're seeing is that the software sector, especially in the M&A side and the dialogues connected with those have started to warm up again. And so whereas it is somewhat bifurcated in that the very high-quality software companies are actually in dialogue, both to do M&A on the acquisition side as well as the sponsors who own software companies thinking about whether they sell them or not, that activity has picked up. And what we're seeing in our really software coverage business is that the activity level looks to be quite healthy, and we anticipate that, that will continue to warm and there'll be more activity. In terms of the activity level generally for AI, AI is a source of really a great deal of M&A discussion. Obviously, AI is driving strategic thought for lots of the big strategics, and that's why you're seeing some of the big strategics look to really do some much stronger and bigger acquisitions. You're also seeing a lot of the big strategics look at capabilities they think they need and the view that they need to scale to be able to compete in AI with a lot of their competitors. So on really all fronts, that's been a catalyst for continuing stronger dialogues. In addition, the AI software relationship has really driven more dialogue in the restructuring side of our business where there are some good software companies that need some support on the liability management side. And so we're also seeing activity and expect some activity coming out of software and AI and the impact that AI will have on some of those software companies. So there are any number of places where those relationships, which you pointed out, will actually drive some investment banking activity. Timothy LaLonde: Yes. The only thing I'd add to that is we are seeing green shoots of improvements in that space on the M&A side. Operator: Our next question comes from Mike Brown with UBS. Michael Brown: Okay. Great. Maybe just a quick clarification on that last point, and then I'll ask that question. But is that comment that you said at the end, is that kind of sponsors and strategics when you talked about the green shoots in the software space? John Weinberg: Yes. We think that there is continuing activity. Our dialogues really are across the board. So with respect to sponsors, the sponsors, especially the ones that have really been focused on software are seeing real opportunities, and we're in a number of dialogues for that. And then on strategics, there has -- there is a very strong point of view that software is actually continuing to be powerful. that the blip that happened several months ago was an overreaction. And there is real opportunity both in buying and selling software companies going forward. Michael Brown: Okay. Great. I did really want to ask you about Europe. So with the Robey Warshaw acquisition, that seems like it's really been a good strategic home run for you guys partnering together now. Maybe just discuss a little bit about what you're seeing in Europe, specifically on the M&A front. How is the confidence levels for continued activity there and expectations for that market? Do you think that there's still a good pace of acceleration that can come through there? And then do you see that as an opportunity to continue to take share in the region? Maybe just a quick update on what you're seeing on the hiring front as well? John Weinberg: Sure. So we see real strength in our European businesses. As you've seen and you've heard from us, we continue to add to our capabilities and also our coverage of companies in Europe. You mentioned Robey Warshaw, that has gone extremely well. The integration has been smooth, and we are really pleased with the way our 2 firms have come together. And we've been involved in several important and large transactions where Robey Warshaw and Evercore have worked together, and we're really pleased with that. As you know, we've also added capabilities throughout Europe. So for example, you've seen that we just did -- that we've just added 2 very strong people in Frankfurt. We have also added a Stockholm office and our Paris operation, which is a couple of years old, is actually doing extremely well. And so really across the board, joining Spain, we really have built out a business. And then what we've done is we've actually built in capability in terms of products that we can add. So for example, whether it's debt advisory or whether it's restructuring, we've added both of those also. And so -- on the restructuring side, which was a business which we were really, I think, underinvested in, we have actually put in some significant investments in European restructuring and liability management, and we're seeing real fruits to that also. So we feel really enthusiastic and optimistic about the business that we've built. We feel really good about the people we've recruited, and we feel like it's coming together really nicely. And so that is a business that we do expect to really compete even more effectively. We think we are going to build share. And we really think that the ambitions we have for that business are well founded. Operator: Our next question comes from Jim Mitchell with Seaport Global Securities. James Mitchell: Maybe just on ECM, a record quarter in the second quarter. So I guess, how are you feeling about the pipeline in that business? How much of the quarter would you attribute to just a really strong environment versus sort of your efforts to diversify your sector coverage and gain share and maybe thinking about higher lows and higher highs from here? Just any broader discussion on ECM would be great. John Weinberg: We feel really good about our ECM operation. I think we're making real progress. It's going to be up and down. The market is clearly going to determine some of that. We did get the benefit of a very good market. And we see -- as we look out, we see good backlog and really significant business in the next couple of quarters as far as we can see. We feel really good about the people that we've added. We also feel really good about the way that we are approaching the ECM business. Evercore has really taken seriously how we market ECM and really how we engage ECM and how we call on the corporates that we are dealing with really throughout. And so I'd say that you can expect our ECM business is going to continue to grow. We have an aspiration to be a top 10 underwriter. I think personally, I'm very optimistic about that. I think we have some really high-quality people, both who are inside ECM and also people who are selling that product. So I think we feel that it's actually realizing some real potential. Operator: Our next question will come from Ryan Kenny with Morgan Stanley. Ryan Kenny: All right. So it's FOMC Day, and I'm wondering if we can get more details on what your current dialogue with clients is around the potential for additional rate hikes and what the resilience of the pipeline is if we get a surprise hike or if we get lingering uncertainty on future hikes? Would that be a material headwind to any parts of the business? John Weinberg: Well, we do not think that the rates at this point are really going to determine merger activity or even activity within other parts of our business. We think that are -- that the market is being driven by other forces right now. And financeability is not really an issue in any of the M&A that we're seeing, nor is it really an issue with respect to the sponsor businesses, although as we all know, if rates go up substantially, that may put some stress on some of the sponsor portfolio companies. But we really think that the market is actually pretty noncommitted to really where rates are going to be. I think that it's not really going to impact really this market. We do -- in terms of you're asking us how are we thinking about rate hikes, -- right now, our projection in ISI is that it's going to be pretty neutral through the end of the year. And so I think that's the way I think we're approaching it and thinking about it. But generally, we think that where rates are not really going to drive the merger market, at least in the near term. Operator: And our next question will come from Alex Bond with KBW. Alexander Bond: Maybe one on PCA. Just from looking at the industry data and commentary, it suggests that secondary volumes may have slowed sequentially at the industry level in 2Q. But from your remarks, it sounds like it was another strong quarter for this part of the business. But wondering if you can share with us your expectations for PCA through year-end and also to the extent you think your leading position in the space may help you weather periods where industry volumes may slow to a degree? And then also, it would be helpful to get any color around how what's happening in software is impacting both current activity levels across the secondary space as well as forward expectations here. John Weinberg: So our PCA business is actually performing well, and we feel really good about the prospects going forward. As you know, we have a very large market share, and we really expect that we will be able to protect that market share. And really, the activity level is very healthy right now. and we see that continuing through the end of the year. As we have discussions with them, there is a very strong inflow of business. They are seeing a lot, and it's really across the board. It's both CVs as well as LPs and GP business. We have some new products that we're also marketing, and those are -- that's all going well. And so generally, that business is quite healthy. And the second part of the question was on software. Software is a really important part of the business in terms of the way we run our business. In terms of software opportunities, I think that those opportunities are consistent with really what we've seen in the past, which is software is an asset that is being considered on all different levels. As you know, CVs are an option in terms of how you monetize. There are many circumstances where the sponsor owner of a set of software assets, and we're seeing this quite a number of times, where there's a real belief in that asset that the market may not be sharing. So the CV may be a very good alternative to kind of go to the next level and get some monetization in that asset. So I think what we're seeing is that software is really continuing to be a part of the PCA business. I think those dialogues are quite healthy around all the different aspects. And I think we're feeling like this is going to provide some real fuel for that business going forward. Operator: Our next question comes from Nathan Stein with Deutsche Bank. Nathan Stein: I wanted to follow up on the non-comp side of the expense base. Is the higher growth rate expected in non-comp dollars this year, all really from the episodic components in 2Q and investments into the business that you already highlighted? Or does this mean that non-comp expense dollars should overall be higher in the second half of the year versus the first half? And separately, in the press release, you note there was a provision for credit losses that drove some of the increase in non-comp. Can you just talk more about what that was and how much this drove the overall increase? Timothy LaLonde: Yes, sure. So that, of course, has multiple facets to it. But when you think about -- I mean, the crux of the question was non-comp growth and what we expect from that and what it's attributable to. The way I would think about it is there's a baseline growth that will exist because we're a firm that's obviously grown quite substantially over the last 3 years, 5 years, 7 years, 10 years, whatever time frame you pick. And so there is obviously some correlation between headcount growth and non-comps. And so what I -- in the past, what we had talked about with people a little bit was to think about headcount growth. And so that's on the order of 10% recently and then inflation. And then you've got certain elements that might appreciate at a cost faster than inflation. But let me pause on headcount for a second because one of the things we've tried to do over the years, and I think have done a pretty good job of is making sure we grow our revenues faster than we grow our headcount. Now given the cyclicality of the industry, that might not be true in any single year, but across any meaningful number of years, whether it's 1 year, 3 years, 7 years, 10 years, we've grown our revenues faster than we've grown our headcount. And that's important, and that's one of the things that helps give us leverage. So that accounts for some of it. Then there are certain elements of non-comps that are going to grow faster than the cost of inflation. One of those is data or information. We're obviously living in the information age. Data is at a premium. We see that all over the place. And there's a little bit of pricing power there. And so that's one element of our cost that's increased a little faster. An element that's increased a little more slowly would be certain parts of travel. And so as what COVID did, there was perhaps one thing that was helpful that came out of it was that it accelerated the transition to video conference calls. And so if you look at the number of trips, for instance, we're only just now on an unadjusted basis, taking as many trips as we were taking pre-COVID to do our business on a headcount-adjusted basis, we're actually still something around 30% lower per head. And so we're seeing some benefits there. But along -- kind of partially offsetting that, you've got things like oil prices are higher that translates to higher jet fuel costs. And so flights are a little more expensive. Hotels are a little more expensive. And so we go through with each of these components, and some of them are headcount related, some inflation related, some travel to the beat of their own drummer. And then you've got technology, right? And that's -- we're at an inflection point in the technology curve. And what we see is technology is obviously accelerating at a rate that's faster than it has historically. And any management team worth its salt is doubling down there and making sure they take advantage of the opportunities that are available. So some element of the increase is investing there. And then -- and so as long as the business is growing, the absolute dollar amount of non-comps will tend to grow. The point is we want -- we'd like to grow revenues faster. And if you look at us over a sustained period of time, 3, 4, 5, 6, 7 years, I think we've done a pretty good job of that. And by the way, if you look at -- the question implicitly gets at the one of is there operating leverage in the business. And if you look at our first half results, what you would see is revenues up 56%, earnings up 77%, okay? That's the definition of leverage. And we're striving to achieve more of it in the long run. In the short run, there are some investments to be made as we build out our business. Operator: Our next question comes from Gabriel Angelini with Bank of America. Gabriel Angelini: I think the hiring backdrop has been quite competitive for some time now, and you even called out search and placement fees as one of the drivers of those elevated non-comps. But maybe can you give us a mark-to-market around whether your appetite on the hiring front has changed at all? And does just the degree of competition on hiring make it more attractive to do whole business acquisitions at this point? John Weinberg: Thanks, Gabriel. So we are not really in the business of doing big lift-outs. You've seen we've really only done a couple of situations in recruiting where we've done multiple people. We have the capacity to do it, and we have the appetite. But really, this question is really much more about how we think about talent. And what we really do is we -- our production in terms of how many people we bring in is more an input -- I mean, output than an input, meaning that we really are in the market looking for highly talented people, A+ people, and we're continuing to do that. And in fact, our pipeline is very healthy right now. You heard that we've brought in 11 new people this year. And we continue to be in the market and in several really important dialogues with some very talented people. So we will continue to build those. We're not really, though, looking at big lift-out type opportunities. There may be a couple where we have 2 or 3 people who we would bring in together. But really, it's much more a one by one. We've always done it one by one. We've always done it in a very custom approach, filling needs we have with A+ people. And frankly, it really all starts with the quality of the person. And so we're going to keep that consistent. Operator: Next, we have a follow-up question from Steven Chubak with Wolfe Research. Steven Chubak: John, I have a bit of a more nuanced question on comp leverage. Just given historically, you've recruited much more actively from bulge bracket peers versus some of the cost of buying out deferred for senior talent at the bulges, the cost has gone up meaningfully just given the share price appreciation we've seen in the last 3 years, whereas the deferred equity appreciation at some of your smaller independent peers has been far less. I was hoping you could speak to how you're evaluating the cost to recruit from bulges and whether you're still focusing more of your recruiting efforts there versus the independents and how that might inform the longer-term comp trajectory? John Weinberg: So Steven, really, to be honest with you, we've never really considered focusing on the bulge bracket versus focusing on independents. We really have done it one by one. And the way we do it is we look for the people who we've identified as highly talented A+ talent who we think will fit culturally to the firm. And those are the people we focus on. The -- believe it or not, the way we recruit I don't really see a real material difference between the people we take out of the bulge bracket versus the people we get from the independent side. Really, it's as much as anything, how their business, the business they've constructed and how they go about it. So I think if you're really trying to figure out how we're going to really proceed in terms of growing the business with the external hiring process, I think what you should assume is we're going to continue to look across the board. It's going to be really both bulge bracket and independents. We're going to be looking for the most highly talented people. We may have to pay for the most highly talented people, but I think we do it in a way where I think the firm really benefits. the ROI on the talent that we bring in when they come into our platform and they start to really work in the Evercore system is very good. And if we go back and we do, do this, we look at kind of how do we do in terms of the people we've recruited, I think we feel really good about it, and that's why we continue to kind of move forward. Obviously, internal promotions are something that we care about, and we're spending a lot of time making sure that we are developing our programs to do it. But I think you can assume that we're going to continue the process of really looking broadly at the market and hiring the most important -- the most effective people who are going to drive our business the best. Operator: Next, we have a follow-up question from James Yaro with Goldman Sachs. James Yaro: I hope to just put a fine point on margins. So I think if we look back from 2016 to 2022, your annual adjusted operating margins were in the rough range of 24.5% to 34%. If I take out the outliers, specifically 2021's elevated 34% and the low in 2019 of -- of roughly 24.5%, the other years in that range were quite tightly clustered around 26% to 28.5%. That compares to 22.7% in the first half of this year. So Tim, I was just hoping you might be able to comment a little bit on the operating margin more broadly from here and whether it could return to those historic levels or whether anything has changed structurally? Timothy LaLonde: Yes, sure. By the way, though, we probably have at least a slightly different perspective on the way one looks at the historical margins and think about it being more in the kind of 24.5% to 25% range because it really has to be looked across full cycle without exceptions. And so -- but taking that into mind, I think what we've seen is that we are coming off in '23, what I would call probably the worst investment banking market in the last 15 years going back to the financial crisis. And so we're coming back. The margins were tight. We've been improving them each year. I think if you look at -- I know people like to focus on comp ratios a lot, and that has been higher. But as I pointed out in one of my previous answers, the non-comp has been lower. And so we're probably ballpark 300 basis points lower than we were in the pre-COVID years, and that offsets some of the higher level of comp ratio. We've also talked a bit about investment. And so in my view, margins cannot be looked at in a vacuum. They have to be looked at hand in glove with growth, okay? And so what I would point out on that front is that we've just delivered a first half where the revenues are essentially the same as they were for the entire year. In 2023. And that if you go back a ways, I was looking at our revenues for a different exercise I was doing and was reminded that a dozen years ago, our revenues were in the $800 million to $900 million range, a dozen years ago, okay? In the last 4 quarters, they are $4.7 billion. And so when we think about our business and about creating value for our shareholders, what we're really doing is looking at maximizing value, which is a combination of growth and margins. And on that measure, I would say I'm pretty happy with what we've accomplished these last several years. Operator: Our last question will come from Brennan Hawken with BMO Capital Markets. Brennan Hawken: Just a real granular question, Tim. You flagged onetimers in the non-comp here in the second quarter. Could you just quantify them, please? Timothy LaLonde: I'll quantify some of it. I mean some of it gets down into levels of detail that are probably not appropriate for broad consumption, but bad debt expense, which was somewhat significant -- there are things like legal filing, audit types of fees, which are somewhat significant. We had search and placement costs where an unusual number of the commission type arrangements that we pay on those happen to fall in the second quarter. And then there's other seasonal things like conferences, offsites and summer interns arriving. All of that adds up to a number that I would say is -- hits into the double-digit millions if you sum them all up, those differences. And some of them, we expect to either not be there or to be there in smaller quantities as we move into the next couple of quarters. And so I would not expect to see -- this quarter, you saw a pretty significant sequential increase in non-comps. I would not expect to see a sequential increase like that this upcoming quarter. Operator: Ladies and gentlemen, this concludes today's Evercore Second Quarter 2026 Earnings Conference Call. You may now disconnect. Before you buy stock in Evercore, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Evercore wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $397,405!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,344,091!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 7, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has positions in and recommends Evercore. The Motley Fool has a disclosure policy. Evercore (EVR) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Evercore (EVR) just delivered a fresh set of second quarter 2026 earnings and confirmed its latest dividend, while also adding veteran equity capital markets banker Dylan Tornay to deepen coverage in industrials and infrastructure. See our latest analysis for Evercore. Evercore's share price has eased in recent weeks, with a 7-day share price return of 6.51% and a 30-day share price return of 7.09% down to US$318.34, even as investors weigh strong year-on-year revenue figures and the arrival of Dylan Tornay against a 1-year total shareholder return of 7.70% and very large 3-year and 5-year total shareholder returns. If Evercore's recent moves have you thinking about where else capital might work hard, it could be a good moment to scan 19 top founder-led companies Evercore now trades below both its own fair value estimate and the average analyst target, after a recent pullback from earlier highs. Does that gap still look like a margin of safety or a warning sign? Evercore's latest fair value narrative sits at $383.60, comfortably above the recent $318.34 close, which puts a spotlight on what is driving that gap. Read the complete narrative. Curious what sits behind that $383.60 fair value for Evercore? The narrative leans on specific revenue growth, margin paths and a future earnings multiple that could surprise you. The full set of assumptions is what really matters for long term investors. Result: Fair Value of $383.60 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Evercore's heavy reliance on cyclical M&A activity, along with rising fixed and compensation costs, could quickly pressure margins if deal volumes or fees soften. Find out about the key risks to this Evercore narrative. With Evercore presenting both appealing upside and clear pressure points, it makes sense to move quickly, review the underlying data and decide where you stand. To weigh both sides in one place, start with the 2 key rewards and 1 important warning sign If Evercore has sharpened your thinking, do not stop there. Fresh ideas often come from comparing strong businesses side by side using a focused stock screener. Spot potential mispriced opportunities early by checking companies that show up in the 53 high quality undervalued stocks. Strengthen your downside protection by reviewing stocks in the 82 resilient stocks with low risk scores that score well on resilience. Get ahead of the crowd by scanning the screener containing 18 high quality undiscovered gems before they hit every investor's radar. 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. Companies discussed in this article include EVR. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. Evercore stock has delivered a strong 159.3% return over the past five years, yet the current checks send mixed valuation signals, with the Excess Returns intrinsic value estimate pointing to meaningful upside while market multiples lean the other way. Over five years Evercore has returned 159.3%, which puts recent share price weakness into the context of a longer period of strong gains for existing shareholders. Evercore's role at the center of record activity in the private asset secondary market can support expectations for future fee income, while any slowdown in deal volumes or pressure on transaction economics may weigh on how durable those cash flows appear. The stock screens as undervalued on the Excess Returns model by about 42.1%, yet earns a mixed value profile overall, with the broader checks indicating the shares are not a straightforward bargain given that the P/E style multiples look expensive and the company scores 3 out of 6 on valuation. For more detail, see the valuation breakdown. The issue now is whether Evercore's recent pullback offers a reasonable entry around intrinsic value or whether the richer earnings multiples already factor in most of the good news. Evercore delivered 7.7% returns over the last year. See how this stacks up to the rest of the Capital Markets industry. The Excess Returns model for Evercore looks at how much profit the company can generate on its equity above the required investor return. It then converts those excess profits into an intrinsic value per share. For Evercore, the inputs point to a relatively rich profitability profile. Book value is $46.08 per share and the stable EPS estimate is $26.13 per share, based on weighted future Return on Equity estimates from 4 analysts. With an average Return on Equity of 40.05% and a cost of equity of $5.14 per share, the implied excess return comes to $20.99 per share on a stable book value that is expected at $65.24 per share, based on estimates from 3 analysts. Those excess returns translate into an intrinsic value estimate of $549.55 per share. This estimate sits well above the current share price and implies the stock is 42.1% undervalued. The recent record $121b in private asset secondary volumes that Evercore reported helps explain why the model still assigns strong excess returns to the business despite the choppy share price. On this Excess Returns view, Evercore stock currently screens as clearly undervalued. Our Excess Returns analysis suggests Evercore is undervalued by 42.1%. Track this in your watchlist or portfolio, or discover 53 more high quality undervalued stocks. Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Evercore. P/E is a useful cross check for Evercore because earnings are a central driver for advisory focused capital markets firms. On this metric the stock trades on about 16.5x earnings, compared with a peer average of 12.9x and a Capital Markets industry average near 38.3x. The fair P/E that takes Evercore's size, margins and risk profile into account is 13.7x. That sits below the current 16.5x. This indicates that the shares are pricing in a premium to what this model would suggest, even though the multiple is far under the broader industry average. On the P/E check, Evercore stock screens as overvalued relative to its own fair multiple benchmark. See what the numbers say about this price — find out in our valuation breakdown. Simply Wall St Narratives for Evercore pick up from this valuation puzzle and spell out which assumptions about Evercore's future growth, margins and earnings would need to hold for the stock to be worth materially more or less than today's price, and they sit on Simply Wall St's Community page. Each narrative sets out a fair value as a thesis about how the business could develop over time, so you can see how that view holds up as new information comes through. One of the top community narratives on Evercore: 19% undervalued Read one of the top narratives on Evercore Do you think there's more to the story for Evercore? Head over to our Community to see what others are saying! Evercore looks cheap on the Excess Returns intrinsic value estimate, yet the P/E cross check points to an overvalued stock on earnings multiples. That split reflects a model that is comfortable with the durability of future excess profits while the market is already paying up for growth and sector sentiment. With the broader checks sitting in mixed territory, the key question is whether Evercore can sustain the profitability that underpins the intrinsic value case or whether the market is already pricing that in through richer multiples. 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. Companies discussed in this article include EVR. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

BGC Group, Inc.’s BGC second-quarter 2026 adjusted earnings of 35 cents per share surpassed the Zacks Consensus Estimate by a penny. The bottom line improved 12.9% from the prior-year quarter.Results were aided by an improvement in revenues to record levels, primarily driven by higher brokerage revenues. An increase in Fenics revenues was another positive. However, higher total expenses hurt the results to some extent. Probably due to this, shares of the company have lost 2.1% following the earnings release on July 30.Net income available to common shareholders (GAAP basis) was $72.5 million, up 26% year over year. Quarterly revenues were a record $845.5 million, up 7.8% year over year. The rise was driven by an increase in total brokerage revenues, fees from related parties, data, network and post-trade fees, and interest and dividend income. The top line beat the Zacks Consensus Estimate of $814.9 million.Fenics revenues increased 14.3% year over year to $186.2 million. Fenics Markets revenues of $152.8 million increased 12.6%, driven by higher electronic trading volumes across Rates, Credit, and Foreign Exchange, and increased Fenics Market Data revenues. Fenics Growth Platforms generated revenues of $33.4 million, a 22.9% increase, primarily driven by FMX, PortfolioMatch and Lucera.Total expenses increased 8.7% from the prior-year quarter to $773.6 million. Total compensation and employee benefits expenses increased 5%, while total non-compensation expenses grew 17.4%.Total net other income was $27 million, up significantly from $3 million in the prior-year quarter. As of June 30, 2026, total assets were $5.75 billion, up from $4.41 billion as of Dec. 31, 2025. Total stockholders’ equity was $1.11 billion, up from $972.5 million.As of June 30, 2026, cash and cash equivalents (including cash segregated under regulatory requirements) were $786.6 million compared with $873.7 million as of Dec. 31, 2025. Management expects revenues to be $775-$835 million (whereas it reported $736.8 million in the third quarter of 2025).Pre-tax adjusted earnings are expected to be $172-$190 million (suggesting a rise from the $155.1 million registered in the prior-year quarter). BGC Group’s structural electronification and diversified growth underpin scalable margins despite cyclical markets globally. However, an elevated expense base despite planned cost-saving efforts is concerning. BGC Group, Inc. price-consensus-eps-surprise-chart | BGC Group, Inc. Quote Currently, BGC carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Evercore Inc.’s EVR second-quarter 2026 adjusted earnings of $2.91 per share missed the Zacks Consensus Estimate of $3.02. The bottom line compared favorably with adjusted earnings of $2.42 in the prior-year quarter.EVR’s results were hurt by higher expenses. However, an increase in revenues and higher assets under management balance in the Wealth Management business supported the results to an extent.Tradeweb Markets Inc.’s TW second-quarter 2026 adjusted earnings of 97 cents per share surpassed the Zacks Consensus Estimate by a penny. The bottom line increased 11.5% year over year.TW’s results were primarily aided by higher revenues, partly offset by a slight increase in expenses. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report BGC Group, Inc. (BGC) : Free Stock Analysis Report Tradeweb Markets Inc. (TW) : Free Stock Analysis Report Evercore Inc (EVR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Evercore Inc. EVR reported second-quarter 2026 adjusted earnings per share of $2.91, missing the Zacks Consensus Estimate of $3.02. However, the bottom line compared favorably with the prior-year quarter’s $2.42. Results were pressured by higher expenses. However, growth in revenues from the Investment Banking & Equities and Investment Management segments helped offset some of the impact. Additionally, the increase in assets under management (AUM) provided further support to the overall performance. The results include certain non-recurring items. After considering this, net income attributable to common shareholders (GAAP basis) was $95.3 million, down from $97.2 million in the year-ago quarter. In the second quarter of 2026, the company reported record net revenues (adjusted) of $999.5 million, beating the Zacks Consensus Estimate of $993.5 million by 0.6%. The top line increased 19.2% from $838.9 million in the year-ago quarter. Total expenses increased 23.4% year over year to $843.6 million. The rise reflected increases in employee compensation and benefits, and non-compensation costs, along with special charges related to an estimated loss provision for non-U.S. employment taxes for prior periods. The adjusted compensation ratio was 63.5%, down from 65.4% in the prior-year quarter. The adjusted operating margin was 19%, up from 18.7% in the prior-year quarter. Investment Banking & Equities: Net revenues increased 19.1% year over year to $966.9 million. This rise was primarily due to increases in advisory fees, underwriting fees, and commissions and related revenues. However, operating income declined 2.4% to $142.5 million from $146 million in the year-ago quarter. Investment Management: Net revenues were $23.3 million, up 7.7% from the prior-year quarter. Operating income was $4.1 million, down 7.6% year over year. AUM was $16.2 billion as of June 30, 2026, growing 12% year over year. As of June 30, 2026, cash and cash equivalents were $1.3 billion, and investment securities and certificates of deposit were $1.1 billion. Current assets exceeded current liabilities by $1.9 billion as of the same date. Amounts due related to the notes payable were $540 million as of June 30, 2026. In the reported quarter, Evercore repurchased an aggregate of 0.3 million shares at an average price of $339.79 per share. EVR’s performance continues to benefit from broad-based revenue growth, including strength in advisory and underwriting activities, which drove record second-quarter revenues. Higher AUM and solid segmental revenue growth were other positives. Given the company’s strong liquidity position, capital distribution activities seem sustainable. However, elevated expenses remain concerning. Evercore Inc price-consensus-eps-surprise-chart | Evercore Inc Quote Currently, Evercore carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Goldman Sachs Group, Inc. GS reported second-quarter 2026 earnings per share of $20.98, which topped the Zacks Consensus Estimate of $14.47. The metric also surged 92% from $10.91 a year ago. Driven by robust client activity, GS posted record net revenues in Equities of $7.42 billion, which jumped 72% year over year, while fixed income, currencies and commodities revenues climbed 32% to $4.59 billion. Strong dealmaking activity lifted investment banking (IB) fees 55% to $3.40 billion, supported by solid growth in advisory, equity underwriting and record debt underwriting revenues. Morgan Stanley’s MS second-quarter 2026 earnings were $3.46 per share, which easily outpaced the Zacks Consensus Estimate of $2.89. The bottom line surged 62.4% from the prior-year quarter. MS results benefited from robust client engagement and strength in IB and trading activities. IB revenues climbed 58.2% to $2.44 billion. Advisory revenues increased 57.1% on higher completed merger and acquisition transactions, while equity and fixed-income underwriting revenues jumped 70.2% and 48.1%, respectively. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Evercore Inc (EVR) : Free Stock Analysis Report The Goldman Sachs Group, Inc. (GS) : Free Stock Analysis Report Morgan Stanley (MS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

NEW YORK, July 29, 2026--(BUSINESS WIRE)--Evercore Inc. (NYSE: EVR): Evercore Inc. (NYSE: EVR) today announced its results for the second quarter ended June 30, 2026. LEADERSHIP COMMENTARY John S. Weinberg, Chairman and Chief Executive Officer, "We saw broad-based strength across nearly every business this quarter, reflecting strong client engagement and the benefits of our long-term strategy. We continue to invest in our business and remain focused on creating long-term value for our shareholders." Roger C. Altman, Founder and Senior Chairman, "We delivered record second quarter revenues, capping off the strongest first half in our history. These results underscore the greater breadth and competitive strength of our Firm." Evercore's quarterly results may fluctuate significantly due to the timing and amount of transaction fees earned, as well as other factors. Accordingly, financial results in any particular quarter may not be representative of future results over a longer period of time. Business Segments: Evercore's business results are categorized into two segments: Investment Banking & Equities and Investment Management. Investment Banking & Equities includes providing advice to clients on mergers, acquisitions, divestitures and other strategic corporate transactions, as well as services related to securities underwriting, private placement services and commissions for agency-based equity trading services and equity research. Investment Management includes Wealth Management and interests in private equity funds which are not managed by the Company, as well as advising third-party investors through affiliates. See pages A-2 to A-8 for further information and reconciliations of these segment results to our U.S. GAAP consolidated results. Non-GAAP Measures: Throughout this release certain information is presented on an adjusted basis, which is a non-GAAP measure. Adjusted results begin with information prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"), and then those results are adjusted to exclude certain items and reflect the conversion of certain Evercore LP Units into Class A shares. Evercore believes that the disclosed adjusted measures and any adjustments thereto, when presented in conjunction with comparable U.S. GAAP measures, are useful to investors to compare Evercore's results across several periods and facilitate an understanding of Evercore's operating results. Evercore uses these measures to evaluate its operating performance, as well as the performance of individual employees. These measures should not be considered a substitute for, or superior to, measures of financial performance prepared in accordance with U.S. GAAP. Evercore's Adjusted Net Income Attributable to Evercore Inc. for the three and six months ended June 30, 2026 was higher than U.S. GAAP principally as a result of the exclusion of the following expenses: Acquisition-related compensation charges, reflecting expenses associated with awards granted in conjunction with the Company's acquisition of Robey Warshaw Acquisition and Transition Costs, including costs incurred for the impairment of a lease related to the acquisition of Robey Warshaw Expenses associated with the amortization of intangible assets and interest cost related to deferred acquisition consideration from the acquisition of Robey Warshaw Expense, or reversal of expense, associated with the changes in fair value of contingent consideration issued to the sellers of Robey Warshaw Special Charges, Including Business Realignment Costs, reflecting an estimated loss provision for non-U.S. employment taxes for prior periods Evercore's Adjusted Diluted Shares Outstanding for the three and six months ended June 30, 2026 were higher than U.S. GAAP primarily as a result of the inclusion of Evercore LP Units. Further details of these adjustments, as well as an explanation of similar amounts for the three and six months ended June 30, 2025 are included in pages A-2 to A-8. Selected Financial Data – U.S. GAAP Results The following is a discussion of Evercore's consolidated results on a U.S. GAAP basis. See pages A-4 to A-6 for our business segment results. Net Revenues Advisory Fees – Second quarter Advisory Fees increased $77.8 million, or 11%, year-over-year, and year-to-date Advisory Fees increased $765.2 million, or 61%, year-over-year, reflecting an increase in revenue earned from large transactions and an increase in the number of advisory fees earned during 2026. Underwriting Fees – Second quarter Underwriting Fees increased $64.9 million, or 201%, year-over-year, and year-to-date Underwriting Fees increased $65.7 million, or 76%, year-over-year, reflecting an increase in the number of transactions we participated in during 2026. Commissions and Related Revenue – Second quarter Commissions and Related Revenue increased $5.3 million, or 9%, year-over-year, and year-to-date Commissions and Related Revenue increased $12.8 million, or 11%, year-over-year, primarily reflecting higher trading commissions driven by increased trading volume during 2026. Asset Management and Administration Fees – Second quarter Asset Management and Administration Fees increased $3.0 million, or 14%, year-over-year, driven by an increase in fees from Wealth Management clients, as associated AUM increased 12%, from market appreciation and net inflows. Year-to-date Asset Management and Administration Fees increased $4.6 million, or 11%, year-over-year, driven by an increase in fees from Wealth Management clients, as associated AUM increased 12%, from market appreciation and net inflows. Other Revenue, net – Second quarter Other Revenue, net, increased $5.4 million, or 22%, year-over-year, primarily reflecting higher performance of our investment funds portfolio, as well as higher interest income resulting from higher average balances in interest-bearing assets, partially offset by an increase in interest expense related to the issuance of new senior notes in July 2025. Year-to-date Other Revenue, net, increased $4.8 million, or 15%, year-over-year, primarily reflecting higher interest income resulting from higher average balances in interest-bearing assets, as well as higher performance of our investment funds portfolio, partially offset by an increase in interest expense related to the issuance of new senior notes in July 2025. The investment funds portfolio is used as an economic hedge against our deferred cash compensation program. Expenses Employee Compensation and Benefits – Second quarter Employee Compensation and Benefits increased $93.2 million, or 17%, year-over-year, reflecting a compensation ratio of 64.8% for the second quarter of 2026 versus 65.8% for the prior year period. The increase in Employee Compensation and Benefits compared to the prior year period principally reflects higher amortization of prior period deferred compensation awards, higher base salaries and a higher accrual for incentive compensation. Employee Compensation and Benefits for the second quarter of 2026 also includes $7.1 million of costs related to awards granted in conjunction with the acquisition of Robey Warshaw. The Compensation Ratio was also impacted by higher net revenues, as described above, during the current year period compared to the prior year period. Year-to-date Employee Compensation and Benefits increased $537.4 million, or 53%, year-over-year, reflecting a year-to-date compensation ratio of 64.9% versus 66.0% for the prior year period. The increase in Employee Compensation and Benefits compared to the prior year period principally reflects a higher accrual for incentive compensation, higher base salaries and higher amortization of prior period deferred compensation awards. Employee Compensation and Benefits for 2026 also includes $14.2 million of costs related to awards granted in conjunction with the acquisition of Robey Warshaw. The Compensation Ratio was also impacted by higher net revenues, as described above, during the current year period compared to the prior year period. See "Deferred Compensation" for more information. Non-Compensation Costs – Second quarter Non-Compensation Costs increased $45.7 million, or 34%, year-over-year, primarily driven by an increase in travel and related expenses, professional fees, technology and information services and other operating expenses. The increase in travel and related expenses is largely due to higher levels of business activity, elevated travel pricing and increased headcount and the increase in other operating expenses is primarily attributable to an increase in the provision for credit losses. The second quarter Non-Compensation ratio of 18.2% increased from 16.2% compared to the prior year period. The Non-Compensation Ratio was also impacted by higher net revenues, as described above, during the current year period compared to the prior year period. Year-to-date Non-Compensation Costs increased $78.6 million, or 30%, year-over-year, primarily driven by an increase in travel and related expenses, professional fees and technology and information services. The increase in travel and related expenses is largely due to higher levels of business activity, elevated travel pricing and increased headcount and the increase in technology and information services is principally reflecting higher expenses associated with license fees, consulting costs and research services. The year-to-date Non-Compensation ratio of 14.2% decreased from 16.9% compared to the prior year period. The Non-Compensation Ratio was also impacted by higher net revenues, as described above, during the current year period compared to the prior year period. Special Charges, Including Business Realignment Costs – Second quarter and year-to-date 2026 Special Charges, Including Business Realignment Costs, reflects an estimated loss provision for non-U.S. employment taxes for prior periods. The Company will continue to review its tax position relating to this matter and will adjust this estimate as appropriate in future periods. Effective Tax Rate The second quarter effective tax rate was 27.8% versus 29.3% for the prior year period. The decrease principally reflects an increase in the deduction associated with the appreciation in the Firm's share price upon vesting of employee share-based awards above the original grant price. The year-to-date effective tax rate was 10.5% versus 1.0% for the prior year period. The increase is primarily attributable to the increase in pre-tax income, as well as an increase in non-deductible expenses and state and local apportionment adjustments, partially offset by the deduction associated with the appreciation in the Firm's share price upon vesting of employee share-based awards above the original grant price. Selected Financial Data – Adjusted Results The following is a discussion of Evercore's consolidated results on an Adjusted basis. See pages 3 and A-2 to A-8 for further information and reconciliations of these metrics to our U.S. GAAP results. See pages A-4 to A-6 for our business segment results. Adjusted Net Revenues See page 4 for additional business metrics. Advisory Fees – Second quarter adjusted Advisory Fees increased $77.9 million, or 11%, year-over-year, and year-to-date adjusted Advisory Fees increased $765.3 million, or 61%, year-over-year, reflecting an increase in revenue earned from large transactions and an increase in the number of advisory fees earned during 2026. Underwriting Fees – Second quarter Underwriting Fees increased $64.9 million, or 201%, year-over-year, and year-to-date Underwriting Fees increased $65.7 million, or 76%, year-over-year, reflecting an increase in the number of transactions we participated in during 2026. Commissions and Related Revenue – Second quarter Commissions and Related Revenue increased $5.3 million, or 9%, year-over-year, and year-to-date Commissions and Related Revenue increased $12.8 million, or 11%, year-over-year, primarily reflecting higher trading commissions driven by increased trading volume during 2026. Asset Management and Administration Fees – Second quarter adjusted Asset Management and Administration Fees increased $3.2 million, or 15%, year-over-year, primarily driven by an increase in fees from Wealth Management clients, as associated AUM increased 12%, from market appreciation and net inflows. The increase was also driven by a 24% increase in equity in earnings of affiliates. Year-to-date adjusted Asset Management and Administration Fees increased $5.0 million, or 11%, year-over-year, primarily driven by an increase in fees from Wealth Management clients, as associated AUM increased 12%, from market appreciation and net inflows. The increase was also driven by a 19% increase in equity in earnings of affiliates. Other Revenue, net – Second quarter adjusted Other Revenue, net, increased $9.5 million, or 33%, year-over-year, primarily reflecting higher performance of our investment funds portfolio, as well as higher interest income resulting from higher average balances in interest-bearing assets. Year-to-date adjusted Other Revenue, net, increased $13.5 million, or 33%, year-over-year, primarily reflecting higher interest income resulting from higher average balances in interest-bearing assets, as well as higher performance of our investment funds portfolio. The investment funds portfolio is used as an economic hedge against our deferred cash compensation program. Adjusted Expenses Employee Compensation and Benefits – Second quarter adjusted Employee Compensation and Benefits increased $86.0 million, or 16%, year-over-year, reflecting an adjusted compensation ratio of 63.5% for the second quarter of 2026 versus 65.4% for the prior year period. The increase in adjusted Employee Compensation and Benefits compared to the prior year period principally reflects higher amortization of prior period deferred compensation awards, higher base salaries and a higher accrual for incentive compensation. The adjusted Compensation Ratio was also impacted by higher net revenues, as described above, during the current year period compared to the prior year period. Year-to-date adjusted Employee Compensation and Benefits increased $523.2 million, or 52%, year-over-year, reflecting a year-to-date adjusted compensation ratio of 63.8% versus 65.5% for the prior year period. The increase in adjusted Employee Compensation and Benefits compared to the prior year period principally reflects a higher accrual for incentive compensation, higher base salaries and higher amortization of prior period deferred compensation awards. The adjusted Compensation Ratio was also impacted by higher net revenues, as described above, during the current year period compared to the prior year period. See "Deferred Compensation" for more information. Non-Compensation Costs – Second quarter adjusted Non-Compensation Costs increased $42.0 million, or 32%, year-over-year, primarily driven by an increase in travel and related expenses, professional fees, technology and information services and other operating expenses. The increase in travel and related expenses is largely due to higher levels of business activity, elevated travel pricing and increased headcount and the increase in other operating expenses is primarily attributable to an increase in the provision for credit losses. The second quarter adjusted Non-Compensation ratio of 17.5% increased from 15.9% compared to the prior year period. The adjusted Non-Compensation Ratio was also impacted by higher net revenues, as described above, during the current year period compared to the prior year period. Year-to-date adjusted Non-Compensation Costs increased $68.2 million, or 27%, year-over-year, primarily driven by an increase in travel and related expenses, professional fees and technology and information services. The increase in travel and related expenses is largely due to higher levels of business activity, elevated travel pricing and increased headcount and the increase in technology and information services is principally reflecting higher expenses associated with license fees, consulting costs and research services. The year-to-date adjusted Non-Compensation ratio of 13.5% decreased from 16.7% compared to the prior year period. The adjusted Non-Compensation Ratio was also impacted by higher net revenues, as described above, during the current year period compared to the prior year period. Adjusted Effective Tax Rate The second quarter adjusted effective tax rate was 29.4% versus 30.0% for the prior year period. The decrease principally reflects an increase in the deduction associated with the appreciation in the Firm's share price upon vesting of employee share-based awards above the original grant price. The year-to-date adjusted effective tax rate was 12.1% versus 0.5% for the prior year period. The increase is primarily attributable to the increase in pre-tax income, as well as an increase in non-deductible expenses and state and local apportionment adjustments, partially offset by the deduction associated with the appreciation in the Firm's share price upon vesting of employee share-based awards above the original grant price. Liquidity The Company continues to maintain a strong balance sheet. As of June 30, 2026, cash and cash equivalents were $1.3 billion, investment securities and certificates of deposit were $1.1 billion and current assets exceeded current liabilities by $1.9 billion. Amounts due related to the Notes Payable were $540.0 million at June 30, 2026. Headcount As of June 30, 2026 and 2025, the Company employed approximately 2,715 and 2,455 people, respectively, worldwide. As of June 30, 2026 and 2025, the Company employed 230(1) and 197(2) total Investment Banking & Equities Senior Managing Directors, respectively, of which 188(1) and 159(2), respectively, were Investment Banking Senior Managing Directors. Deferred Compensation Year-to-date, the Company granted to certain employees 1.7 million unvested restricted stock units ("RSUs") (of which 1.6 million were granted in conjunction with the 2025 bonus awards) with a grant date fair value of $553.0 million. In addition, year-to-date, the Company granted $100.1 million of deferred cash awards to certain employees, related to our deferred cash compensation program, which were primarily granted in conjunction with the 2025 bonus awards. The Company recognized compensation expense related to RSUs and our deferred cash compensation program of $174.0 million and $316.3 million for the three and six months ended June 30, 2026, respectively, and $141.8 million and $263.9 million for the three and six months ended June 30, 2025, respectively. As of June 30, 2026, the Company had 4.4 million unvested RSUs with an aggregate grant date fair value of $1.1 billion. RSUs are expensed over the service period of the award, subject to retirement eligibility, and generally vest over four years. As of June 30, 2026, the Company expects to pay an aggregate of $318.5 million related to our deferred cash compensation program at various dates through 2030. Amounts due pursuant to this program are expensed over the service period of the award, subject to retirement eligibility, and amounts accrued are reflected in Accrued Compensation and Benefits, a component of current liabilities. In addition, from time to time, the Company also grants cash and equity-based performance awards to certain employees, the settlement of which is dependent on the performance criteria being achieved. Capital Return Transactions On July 28, 2026, the Board of Directors of Evercore declared a quarterly dividend of $0.89 per share to be paid on September 11, 2026 to common stockholders of record on August 28, 2026. During the second quarter, the Company repurchased 30 thousand shares from employees for the net settlement of stock-based compensation awards at an average price per share of $319.61, and 0.3 million shares at an average price per share of $341.83 pursuant to the Company's share repurchase program. The aggregate 0.3 million shares were acquired at an average price per share of $339.79. Year-to-date, the Company repurchased 1.0 million shares from employees for the net settlement of stock-based compensation awards at an average price per share of $343.89, and 1.3 million shares at an average price per share of $311.03 pursuant to the Company's share repurchase program. The aggregate 2.3 million shares were acquired at an average price per share of $324.60. Conference Call Evercore will host a related conference call beginning at 8:00 a.m. Eastern Time, Wednesday, July 29, 2026, accessible via telephone and webcast. Investors and analysts may participate in the live conference call by dialing (833) 419-0865 (toll-free domestic) or (785) 838-9333 (international); passcode: EVRQ226. Please register at least 10 minutes before the conference call begins. A live audio webcast of the conference call will be available on the Investor Relations section of Evercore’s website at www.evercore.com. The webcast will be archived on Evercore’s website for 30 days. About Evercore Evercore (NYSE: EVR) is a premier global independent investment banking advisory firm. We are dedicated to helping our clients achieve superior results through trusted independent and innovative advice on matters of strategic significance to boards of directors, management teams and shareholders, including mergers and acquisitions, strategic shareholder advisory, restructurings, and capital structure. Evercore also assists clients in raising public and private capital and delivers equity research and equity sales and agency trading execution, in addition to providing wealth and investment management services to high net worth and institutional investors. Founded in 1995, the Firm is headquartered in New York and maintains offices and affiliate offices in major financial centers in the Americas, Europe, the Middle East and Asia. For more information, please visit www.evercore.com. Basis of Alternative Financial Statement Presentation Our Adjusted results are a non-GAAP measure. As discussed further under "Non-GAAP Measures", Evercore believes that the disclosed Adjusted measures and any adjustments thereto, when presented in conjunction with comparable U.S. GAAP measures, are useful to investors to compare Evercore's results across several periods and better reflects how management views its operating results. These measures should not be considered a substitute for, or superior to, measures of financial performance prepared in accordance with U.S. GAAP. A reconciliation of our U.S. GAAP results to Adjusted results is presented in the tables included in the following pages. Forward-Looking Statements This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, which reflect our current views with respect to, among other things, Evercore's operations and financial performance. In some cases, you can identify these forward-looking statements by the use of words such as "outlook," "backlog," "believes," "expects," "potential," "probable," "continues," "may," "will," "should," "seeks," "approximately," "predicts," "intends," "plans," "estimates," "anticipates" or the negative version of these words or other comparable words. All statements, other than statements of historical fact, included in this release are forward-looking statements and are based on various underlying assumptions and expectations and are subject to known and unknown risks, uncertainties and assumptions, and may include projections of our future financial performance based on our growth strategies and anticipated trends in Evercore's business. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. Evercore believes these factors include, but are not limited to, those described under "Risk Factors" discussed in Evercore's Annual Report on Form 10-K for the year ended December 31, 2025, subsequent quarterly reports on Form 10-Q, current reports on Form 8-K and Registration Statements. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release. In addition, new risks and uncertainties emerge from time to time, and it is not possible for Evercore to predict all risks and uncertainties, nor can Evercore assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Accordingly, you should not rely upon forward-looking statements as a prediction of actual results and Evercore does not assume any responsibility for the accuracy or completeness of any of these forward-looking statements. Evercore undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. Adjusted Results Throughout the discussion of Evercore's business and elsewhere in this release, information is presented on an Adjusted basis, which is a non-generally accepted accounting principles ("non-GAAP") measure. Adjusted results begin with information prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"), adjusted to exclude certain items and reflect the conversion of certain Evercore LP Units and Unvested Restricted Stock Units into Class A shares. Evercore believes that the disclosed Adjusted measures and any adjustments thereto, when presented in conjunction with comparable U.S. GAAP measures, are useful to investors to compare Evercore's results across several periods and facilitate an understanding of Evercore's operating results. The Company uses these measures to evaluate its operating performance, as well as the performance of individual employees. These measures should not be considered a substitute for, or superior to, measures of financial performance prepared in accordance with U.S. GAAP. These Adjusted amounts are allocated to the Company's two business segments: Investment Banking & Equities and Investment Management. The differences between the Adjusted and U.S. GAAP results are as follows: Assumed Exchange of Evercore LP Units into Class A Shares. The Adjusted results assume substantially all Evercore LP Units have been exchanged for Class A shares. Accordingly, the noncontrolling interest related to these units is converted to a controlling interest. The Company's management believes that it is useful to provide the per-share effect associated with the assumed conversion of substantially all of these previously granted equity interests and IPO related restricted stock units, and thus the Adjusted results reflect their exchange into Class A shares. Adjustments Associated with Business Combinations and Divestitures. The following charges resulting from business combinations and divestitures have been excluded from the Adjusted results as the Company's Management believes that operating performance is more comparable across periods excluding the effects of these acquisition-related charges: Special Charges, Including Business Realignment Costs. Expenses during 2026 that are excluded from the Adjusted presentation reflect an estimated loss provision for non-U.S. employment taxes for prior periods. Income Taxes. Evercore is organized as a series of Limited Liability Companies, Partnerships, C-Corporations and a Public Corporation in the U.S. as the ultimate parent. Certain of the subsidiaries, particularly Evercore LP, have noncontrolling interests held by management or former members of management. As a result, not all of the Company’s income is subject to corporate level taxes and certain other state and local taxes are levied. The assumption in the Adjusted earnings presentation is that substantially all of the noncontrolling interest is eliminated through the exchange of Evercore LP units into Class A common stock of the ultimate parent. As a result, the Adjusted earnings presentation assumes that the allocation of earnings to Evercore LP’s noncontrolling interest holders is substantially eliminated and is therefore subject to statutory tax rates of a C-Corporation under a conventional tax structure in the U.S. and that certain state and local taxes are reduced accordingly. Presentation of Interest Expense. The Adjusted results present Adjusted Investment Banking & Equities Operating Income and Adjusted Investment Management Operating Income before interest expense on debt, lines of credit and other financing arrangements, which are included in interest expense on a U.S. GAAP basis. Presentation of Income from Equity Method Investments. The Adjusted results present Income from Equity Method Investments within Revenue as the Company's Management believes it is a useful presentation. View source version on businesswire.com: https://www.businesswire.com/news/home/20260728973116/en/ Contacts Investor Contact: Katy HaberHead of Investor Relations & [email protected] Media Contacts: Jamie EastonHead of Communications & External [email protected] FGS [email protected] [email protected]

Evercore (EVR) came out with quarterly earnings of $2.91 per share, missing the Zacks Consensus Estimate of $3.02 per share. This compares to earnings of $2.42 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -3.64%. A quarter ago, it was expected that this investment bank would post earnings of $5.57 per share when it actually produced earnings of $7.53, delivering a surprise of +35.19%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Evercore, which belongs to the Zacks Financial - Investment Bank industry, posted revenues of $999.52 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.60%. This compares to year-ago revenues of $838.85 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Evercore shares have added about 0.1% since the beginning of the year versus the S&P 500's gain of 8.5%. While Evercore has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Evercore was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $3.74 on $1.11 billion in revenues for the coming quarter and $19.64 on $4.86 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Investment Bank is currently in the top 9% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Tradeweb Markets (TW), is yet to report results for the quarter ended June 2026. The results are expected to be released on July 30. This electronic marketplaces operator is expected to post quarterly earnings of $0.96 per share in its upcoming report, which represents a year-over-year change of +10.3%. The consensus EPS estimate for the quarter has been revised 0.4% higher over the last 30 days to the current level. Tradeweb Markets' revenues are expected to be $564.05 million, up 10% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Evercore Inc (EVR) : Free Stock Analysis Report Tradeweb Markets Inc. (TW) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research