JEF

SentinelOne (NYSE:S) will hand down its first quarter earnings this week, with Jefferies analysts raising their price target on the cybersecurity ahead of the report, citing improving longer-term growth visibility and margin expansion potential. The firm lifted its price target to $24 from $20, pointing to what it sees as an attractive valuation at roughly 4.5 times estimated calendar 2027 revenue and expectations for stronger profitability in the second half of the fiscal year. Shares currently trade at about $19. For Q1, consensus forecasts are calling for SentinelOne to report $41 million in net new annual recurring revenue (NNARR), representing about 24% year-over-year adjusted growth, according to Jefferies. The firm wrote that stronger-than-seasonal survey data could help the company reach an investor target of roughly $43 million to $44 million in NNARR. While Jefferies described the Q1 setup as “not the easiest,” analysts said underlying cybersecurity demand trends remain healthy. They added that SentinelOne has narrowly missed first-quarter ARR consensus expectations in each of the past two years, contributing to a more cautious tone heading into the report. The first half of fiscal 2027 could remain pressured after management indicated around 50% of annual NNARR is expected to come in the first half of the year, compared with 42% in the prior-year period after adjustments for acquisitions and certain churn impacts. Regardless, Jefferies wrote that the broader fiscal 2027 growth path appears easier, with current consensus estimates implying a slowdown in NNARR growth relative to fiscal 2026 levels. The analysts said that could leave room for SentinelOne to outperform expectations if endpoint security demand remains stable and adoption of newer products continues to grow. AI-related offerings are also expected to be a key focus for investors during the earnings call. Jefferies highlighted momentum in Prompt Security, SentinelOne’s AI security offering, which more than doubled ARR sequentially in the prior quarter. The firm said investors will likely look for further updates on AI security deal activity and competitive positioning. Margins are another area being closely watched. Consensus estimates call for a non-GAAP operating margin of 2.3% in the first quarter, up about four percentage points from a year earlier. Jefferies expects margin expansion...

Workday Inc (NASDAQ:WDAY) is set to report first quarter results after Thursday’s closing bell as investors weigh slowing growth trends, questions around its artificial intelligence strategy, and whether the company can sustain its long-term margin and revenue targets following recent leadership changes, analysts at Jefferies have highlighted. The software company, which has seen its shares fall roughly 16% since Aneel Bhusri returned as chief executive, is expected to post in-line results for the fiscal first quarter, according to the analysts. The brokerage said estimates for subscription revenue growth of about 13% and current remaining performance obligations (cRPO) are appropriate heading into the print. However, Jefferies flagged execution risk and said it sees limited upside to near-term estimates, noting that a lack of a breakout product and rising AI-related investment costs could weigh on margins. A key focus for investors will be Workday’s artificial intelligence roadmap, which remains relatively unclear, according to Jefferies’ channel checks. The firm said AI currently represents about 4% of revenue and adoption of AI-focused products appears early-stage, with partners describing integration of acquired assets and new AI tools as still developing. Jefferies outlined several questions for management, including how AI will contribute to revenue growth, when it could become a meaningful driver of sales, and whether the company’s fiscal 2028 growth target of 13% to 14% remains achievable. The firm noted that target implies market share gains against competitors such as SAP and Oracle, despite intensifying competition in back-office software. Margin trajectory will also be in focus, with investors concerned that increased AI investment could slow operating margin expansion. Workday has previously indicated fiscal 2027 operating margin expansion toward 30%, though Jefferies suggested expectations for continued improvement may be too optimistic given current spending trends. International growth is another area of scrutiny. While international markets represent roughly half of Workday’s total addressable market, Jefferies noted that growth in that segment has decelerated, lagging the US in the most recent fiscal year. Despite near-term concerns, Jefferies pointed to strengths including high customer retention of about 97% and a user base of roughly 75...

Artificial intelligence-linked stocks have accounted for more than 80% of the S&P 500’s gains so far in 2026, prompting debate among investors over whether the rally can continue. However, strategists at Jefferies argue that the advance still appears fundamentally supported rather than excessively speculative. According to the broker’s quantitative strategy team, gains across its AI-focused stock basket are being driven primarily by earnings expansion instead of valuation multiple inflation, a dynamic the analysts described as “sustainable.” Excluding AI-related shares, the broader S&P 500 would be up only around 2% year-to-date. Jefferies noted that forward earnings estimates for its AI basket in 2026 have climbed by more than 30% since mid-2025. Consensus analyst forecasts currently point to an earnings-per-share compound annual growth rate of 38.5% for 2026 and 2027, compared with just 11.9% for sectors outside the AI theme. Despite the strong earnings outlook, the AI basket is trading at approximately 25 times forward earnings, below its historical one-standard-deviation threshold, while its price-to-earnings-growth ratio stands at only 0.6 times. “AI is the cheapest sector to own in the U.S.,” on a PEG basis, the team led by Desh Peramunetilleke wrote. Jefferies highlighted that returns across AI-related industries have varied significantly in 2026. Companies tied to AI servers, optical components and memory technologies have delivered the strongest gains, while hyperscalers and chip designers have underperformed relative to other AI sub-sectors. The bank added that memory and compute-related stocks currently appear the most attractive from a valuation perspective when measured by PEG ratios. In contrast, semiconductor equipment manufacturers and chip design firms are viewed as relatively expensive. The latest earnings season also provided additional support for the AI investment case. Around 86% of companies delivered earnings results above analyst expectations, marking the strongest beat rate since the post-pandemic period and improving from 75% in the previous quarter. Revenue beats also rose to 82%. However, Jefferies noted that positive earnings surprises did not consistently translate into stronger share price performance across the broader market. Outside AI and a limited number of other sectors, stocks generally failed to outperform following ea...

It has been about a month since the last earnings report for Applied Digital Corporation (APLD). Shares have added about 62.4% in that time frame, outperforming the S&P 500. But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Applied Digital Corporation due for a pullback? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent catalysts for Applied Digital Corporation before we dive into how investors and analysts have reacted as of late. • Revenue: $126.6 million, up 139% year over year from $52.9 million. • Adjusted net income per diluted share (Non-GAAP): 9 cents, up from an adjusted net loss of 1 cent in the prior-year quarter. • Adjusted EBITDA (Non-GAAP): $44.1 million versus $6.3 million in the prior-year quarter. • Data Center Hosting revenue: $37.5 million, up 7% from $35.2 million in the prior-year quarter. • HPC Hosting revenue: $71.0 million in total, including $44.1 million from base rent, $18.9 million from tenant fit-out services, and $8.1 million from power pass-through arrangements and other ancillary revenue streams. Applied Digital reported a loss of 36 cents per share in the third quarter of fiscal 2026, a deterioration from a loss of 16 cents registered in the year-ago quarter. The figure missed the Zacks Consensus Estimate by 260%. Revenues soared 139.3% year over year to $126.6 million, driven by the ramp-up of HPC tenant fit-out services at Polaris Forge 1 and continued growth in the Data Center Hosting Business. The figure beat the Zacks Consensus Estimate by 68.73%. The Data Center Hosting Business generated $37.5 million in revenues, up 7% year over year, with both Jamestown (106 MW) and Ellendale (180 MW) operating at full capacity as of Feb. 28. The segment generated approximately $13.9 million in operating profit during the quarter, operating on an asset base of $119.6 million, demonstrating strong operational efficiency. The HPC Hosting Business contributed $71 million in revenues during the quarter. This included approximately $18.9 million from tenant fit-out services for CoreWeave at Polaris Forge 1, $44.1 million related to base rent, and $8.1 million related to power pass-through arrangements and other ancillary revenue streams. The segment generated an operating profit of $17.6 million. The...

(Bloomberg) -- HSBC Holdings Plc reported profit that missed estimates, weighed down by an unexpected charge related to the collapse of UK mortgage lender Market Financial Solutions Ltd. and rising economic risks stemming from the conflict in the Middle East. Most Read from Bloomberg US Has Opened a Passage Through Hormuz, Central Command Says US and Iran Trade Fire in Gulf, Jolting Four-Week-Old Truce China’s Rare Sanctions Pushback Leaves Banks Caught in Crossfire Former NYC Mayor Giuliani in Critical Condition, Trump Says Beijing Tells China Firms to Ignore US Sanctions on Refiners Pretax profit for the first three months of the year fell to $9.4 billion, missing the $9.6 billion average estimate compiled by the bank. Those results were partially offset by a resilient performance within the lender’s wealth and Hong Kong units, as well as an upgrade to its net interest income outlook. The London-based bank booked $1.3 billion in expected credit losses for the period. This figure was driven largely by a $400 million charge linked to what the bank described as a “fraud-related, secondary, securitization exposure with a financial sponsor in the UK.” That’s tied to the failure of specialized lender Market Financial Solutions, also known as MFS, according to a person with knowledge of the matter, who asked not to be identified discussing private information. Apollo Global Management Inc.’s unit Atlas SP Partners is the financial sponsor, the Financial Times reported, citing people familiar with the matter that it didn’t identify. HSBC also recorded a $300 million increase in allowances tied to a deteriorating global economic outlook following the onset of hostilities in the Middle East. The “results contained a fair amount of noise across revenue and cost lines, but the underlying picture is one of a mildly stronger banking NII print and ongoing strength in wealth,” Joseph Dickerson and Priya Rathod, analysts at Jefferies, said in a note. They rate the shares a hold. HSBC’s shares were down 6.25% at 10:03 a.m. in London. The lender’s exposure to the MFS saga underlines how intertwined banking has become with private credit and nonbanks, with firms including Barclays Plc and Banco Santander SA also caught out. The broadening scope of the conflict in Iran is also threatening a region that HSBC had targeted for aggressive wealth and corporate banking expansion, th...

It has been about a month since the last earnings report for Jefferies (JEF). Shares have added about 13.4% in that time frame, outperforming the S&P 500. But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Jefferies due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. Jefferies’ first-quarter fiscal 2026 (ended Feb. 28) adjusted earnings per share from continuing operations of 89 cents were in line with the Zacks Consensus Estimate. The bottom line jumped 45.9% year over year. Results were aided by record Investment Banking revenues, strength in Equities and improved Asset Management investment returns. However, lower Fixed Income results, a goodwill write-down associated with Tessellis and losses tied to Market Financial Solutions and First Brands acted as headwinds. Results included certain non-recurring charges. After considering these, net earnings attributable to common shareholders (GAAP) increased 21.8% to $155.7 million. Quarterly net revenues were $2.02 billion, up from $1.59 billion in the prior-year quarter. The top line marginally beat the Zacks Consensus Estimate of $2.01 billion. Total quarterly non-interest expenses were $1.80 billion, up from $1.44 billion in the year-ago quarter. Higher compensation and benefits expenses, brokerage and clearing fees, technology and communications expenses, and a write-down associated with Tessellis were the main reasons behind the increase. As of Feb. 28, 2026, book value per common share was $51.91, up from $49.48 as of Feb. 28, 2025. Furthermore, adjusted tangible book value per fully diluted share increased from $32.57 to $34.24. Investment Banking and Capital Markets: Net revenues were $1.80 billion, rising 28.4% from the prior-year quarter. Investment Banking net revenues were $1.02 billion, up from $700.7 million, driven by higher advisory and equity underwriting revenues, while debt underwriting remained solid but was lower year over year. Capital Markets net revenues were $778.8 million, up from $698.3 million, as Equities net revenues rose 36.5%, partially offset by a decline in Fixed Income net revenues. Asset Management: Net revenues were $220.3 million, up from $191.7 mill...

We recently compiled a list of the 10 Most Undervalued Dow Stocks to Buy Now. International Business Machines Corporation is among the most undervalued Dow stocks on this list. TheFly reported on April 20 that Jefferies reduced its price target on IBM from $370 to $320 while maintaining a Buy rating. The firm highlighted expectations for a strong first-quarter performance, anticipating that IBM could exceed Street estimates driven by approximately 11% year-over-year software growth supported by easier comparison metrics. Separately, earlier on April 10, the U.S. Department of Justice announced a False Claims Act settlement with International Business Machines Corporation (NYSE:IBM) totaling $17,077,043, including civil penalties. The resolution addresses allegations that the company did not meet anti-discrimination obligations tied to its federal contracts. Authorities stated the case involved practices that were alleged to have resulted in discrimination against employees and job applicants based on race, color, national origin, or sex. The settlement marks the first resolution under a Civil Rights Fraud Initiative launched in May 2025. Officials emphasized that compliance with equal employment requirements remains a condition for companies holding federal contracts. IBM did not admit liability as part of the agreement, and the payment resolves the government’s claims under the False Claims Act related to workplace and hiring practices under federal contracting rules. International Business Machines Corporation (NYSE:IBM) is a global technology company founded in 1911 and based in New York. It specializes in hybrid cloud, AI, consulting, and quantum computing, serving clients across industries like finance, healthcare, and telecom. While we acknowledge the potential of IBM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 8 Oversold Biotech Stocks to Invest In Now and 10 Best Beaten Down Stocks to Invest in According to Analysts. Disclosure: None. Follow Insider Monkey on Google News.

Investing.com -- Jefferies urged caution on Trade Desk in a note on Thursday ahead of the company’s first-quarter earnings, warning that consensus revenue expectations for the second half of 2026 look "overly aggressive" and that further estimate cuts are likely in store. Analyst James Heaney says the firm does not think it has seen the last cut yet, flagging that Street forecasts imply gross spend acceleration of around 300 basis points to 13% year-on-year in 2026, a hurdle Jefferies finds "tough to underwrite" given that full-year 2025 gross spend grew only around 10%. On near-term results, Jefferies models Q1 revenues in line with guidance at 10% year-on-year growth, though acknowledges a typical 1–2% beat is possible given resilient broader ad market trends. However, the firm sees limited upside to Q2 Street estimates of 12% growth, and warns that recent fee scrutiny following holdco and Publicis headlines raises the risk of near-term gross spend pullbacks and take rate compression. Looking further out, Jefferies flags that Street Q3 revenue estimates imply 8% sequential growth quarter-on-quarter, a rate Trade Desk has not achieved since 2021. Structural concerns compound the cautious outlook. Jefferies points to sustained Amazon competition, the threat of AI-native platforms capturing experimental budgets, management turnover, and elevated stock-based compensation weighing on valuation. The firm is also "skeptical that an OpenAI partnership would be material" to Trade Desk's outlook. “While sentiment is washed out, we're not prepared to call a bottom. No model changes, reiterate Hold and $22 PT,” Heaney concluded. Related articles Jefferies warns on Trade Desk into Q1 earnings JPMorgan outlines ten strategic themes that could shape the outlook for 2026 Wolfe Research outlines eight risks that could spark stock declines in 2026

Jefferies (JEF) came out with quarterly earnings of $0.89 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $0.6 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +0.57%. A quarter ago, it was expected that this investment banking and capital markets company would post earnings of $0.83 per share when it actually produced earnings of $0.96, delivering a surprise of +15.66%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Jefferies, which belongs to the Zacks Financial - Miscellaneous Services industry, posted revenues of $2.02 billion for the quarter ended February 2026, surpassing the Zacks Consensus Estimate by 0.51%. This compares to year-ago revenues of $1.59 billion. 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. Jefferies shares have lost about 34.6% since the beginning of the year versus the S&P 500's decline of 4.2%. While Jefferies 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 Jefferies was unfavorable. 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 #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today...

Jefferies Financial Group’s JEF first-quarter fiscal 2026 (ended Feb. 28) adjusted earnings per share from continuing operations of 89 cents were in line with the Zacks Consensus Estimate. The bottom line jumped 45.9% year over year. Results were aided by record Investment Banking revenues, strength in Equities and improved Asset Management investment returns. However, lower Fixed Income results, a goodwill write-down associated with Tessellis and losses tied to Market Financial Solutions and First Brands acted as headwinds. Results included certain non-recurring charges. After considering these, net earnings attributable to common shareholders (GAAP) increased 21.8% to $155.7 million. Quarterly net revenues were $2.02 billion, up from $1.59 billion in the prior-year quarter. The top line marginally beat the Zacks Consensus Estimate of $2.01 billion. Total quarterly non-interest expenses were $1.80 billion, up from $1.44 billion in the year-ago quarter. Higher compensation and benefits expenses, brokerage and clearing fees, technology and communications expenses, and a write-down associated with Tessellis were the main reasons behind the increase. As of Feb. 28, 2026, book value per common share was $51.91, up from $49.48 as of Feb. 28, 2025. Furthermore, adjusted tangible book value per fully diluted share increased from $32.57 to $34.24. As of Feb. 28, 2026, total assets were $74.38 billion, down from $76.01 billion as of Nov. 30, 2025, while total shareholders’ equity was $10.61 billion, up modestly from $10.58 billion. The leverage ratio was 7.0 compared with 6.8 in the prior-year quarter, and the tangible gross leverage ratio was 8.4 compared with 8.3. Return on adjusted tangible shareholders’ equity was 10.9%, up from 8.0% in the prior-year quarter. Investment Banking and Capital Markets: Net revenues were $1.80 billion, rising 28.4% from the prior-year quarter. Investment Banking net revenues were $1.02 billion, up from $700.7 million, driven by higher advisory and equity underwriting revenues, while debt underwriting remained solid but was lower year over year. Capital Markets net revenues were $778.8 million, up from $698.3 million, as Equities net revenues rose 36.5%, partially offset by a decline in Fixed Income net revenues. Asset Management: Net revenues were $220.3 million, up from $191.7 million in the year-ago quarter. Asset management fees a...

Jefferies (JEF) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended February 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on March 25. On the other hand, if they miss, the stock may move lower. While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise. This investment banking and capital markets company is expected to post quarterly earnings of $0.89 per share in its upcoming report, which represents a year-over-year change of +48.3%. Revenues are expected to be $2.01 billion, up 26% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 8.93% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction). The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However,...

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. Bio-Techne (TECH) is back in focus after institutional investors such as Jefferies Financial Group and Madison Investments increased their exposure, alongside earnings that topped expectations and fresh AI collaborations in drug discovery. See our latest analysis for Bio-Techne. Despite upbeat earnings and fresh AI partnerships, Bio-Techne’s recent share price performance has been weak, with a 30 day share price return of a 19.9% decline and a 1 year total shareholder return of a 17.7% loss. This suggests that sentiment has yet to fully reflect the renewed institutional interest and new CEO plan. If AI enabled drug discovery is on your radar, this could be a good moment to scan the wider opportunity set through our list of 33 healthcare AI stocks. With Bio-Techne shares down over the past year despite earnings beating expectations and institutional buyers stepping in, the key question is whether today’s US$50.85 price undervalues its prospects or already reflects growth that investors anticipate. With Bio-Techne last closing at $50.85 versus a widely followed fair value estimate of $75.25, the key question is how the growth and margin story supports that gap. Read the complete narrative. Curious what kind of revenue trajectory and margin lift are baked into that valuation, and how long it is expected to take to play out? The full narrative lays out the earnings climb, the profit profile shift and the valuation multiple the market would need to accept to justify a fair value near $75. Result: Fair Value of $75.25 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, there are still clear swing factors, including pressure on pharma and biotech funding and rising competition in life science tools, that could challenge this earnings path. Find out about the key risks to this Bio-Techne narrative. While the SWS DCF model points to Bio-Techne trading below an estimated future cash flow value of $72.20, the current P/E of 98.1x is far above the Life Sciences industry at 32.9x, the peer average at 43.3x and the fair ratio of 24.1x. This raises questions about valuation risk if sentiment cools. See what the numbers say about this price — find out in our valuation breakdown. Mixe...