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1. Company Snapshot

1.a. Company Description

Evercore Inc., together with its subsidiaries, operates as an independent investment banking advisory firm in the United States, Europe, Latin America, and internationally.It operates through two segments, Investment Banking and Investment Management.The Investment Banking segment offers strategic advisory services, such as mergers and acquisitions, strategic, defense, and shareholder advisory, special committee assignments, and transaction structuring; Capital Markets Advisory, including equity capital markets, restructuring, debt advisory, private placement advisory, market risk management and hedging, private capital advisory, and private funds; and research, sales, and trading professionals services on a content-led platform to its institutional investor clients.


The Investment Management segment provides wealth management services to high-net-worth individuals, foundations, and endowments; and manages financial assets for institutional investors.The company was formerly known as Evercore Partners Inc.and changed its name to Evercore Inc.


in August 2017.Evercore Inc.was founded in 1995 and is headquartered in New York, New York.

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1.b. Last Insights on EVR

Evercore Inc.'s recent performance faces challenges due to increasing competition in the investment banking sector. The company's strong Q4 earnings and record revenue, fueled by investment banking and management strength, may be overshadowed by rising concerns. A recent upgrade to a Zacks Rank #2 (Buy) reflects growing optimism about earnings prospects (Zacks). However, comparisons with peers like BGC Group and Morgan Stanley may raise questions about Evercore's relative value and growth prospects. Additionally, while Ben Hart's appointment as Senior Managing Director expands Evercore's Asia Private Capital Advisory capabilities.

1.c. Company Highlights

2. Evercore Inc. Delivers Strong Q4 and Full-Year 2025 Results

Evercore Inc. reported a robust financial performance for the fourth quarter and full year 2025, with adjusted net revenues reaching a record $1.3 billion and $3.9 billion, respectively. The company's adjusted operating margin expanded to 26% in Q4, up 380 basis points year-over-year, and 21.6% for the full year, up 300 basis points. Earnings per share (EPS) came in at $4.76 for Q4 and $14.05 for the full year, exceeding analyst estimates. The strong performance was driven by broad-based momentum across all businesses, including M&A advisory, restructuring, and private capital advisory.

Publication Date: Feb -11

📋 Highlights
  • Record Revenue Growth:: Firm-wide adjusted net revenue reached $3.9 billion in 2025, a 29% increase from the prior year, with Q4 hitting a record $1.3 billion (up 32% YoY).
  • Margin Expansion:: Q4 adjusted operating margin improved to 26% (up 380 bps YoY), while the full-year adjusted margin rose to 21.6% (up 300 bps YoY).
  • Strong Earnings Growth:: 2025 adjusted EPS rose 55% to $14.56, driven by $839 million in adjusted operating income (up 50% YoY) and $790 million GAAP operating income.
  • Capital Return:: Returned $812 million in 2025, the second-highest in history, including $661 million via share repurchases (2.4 million shares at $275.42/share average price).
  • Compensation Efficiency:: 2025 full-year adjusted compensation ratio was 64.2% (down 340 bps over two years), reflecting improved cost control amid 29% revenue growth.

Revenue Growth and Margin Expansion

The company's revenue growth was driven by a rebound in global M&A activity, with announced transactions totaling approximately $4.5 trillion, up 49% from the prior year. Evercore's M&A advisory businesses finished the year with strong momentum, advising on significant transactions, including Warner Bros. Discovery's $83 billion sale of Warner Bros. to Netflix. The company's adjusted operating income increased 50% to $839 million, and adjusted EPS rose 55% to $14.56 for the full year.

Business Segment Performance

Evercore's private capital advisory business had a record year, and the fundraising businesses also performed well. The company's restructuring backlog is diversified, including liability management, restructurings, and bankruptcies. According to John Weinberg, "we expect a healthy environment to persist, fueled by business prospects, strategy outreach, access to capital, and a benign regulatory environment."

Valuation and Outlook

With a P/E Ratio of 23.68 and P/S Ratio of 3.61, Evercore's valuation multiples indicate a premium relative to its peers. Analysts estimate revenue growth at 14.8% for the next year. The company's actual EPS came in at $5.13, beating estimates of $3.83. Evercore's strong performance and diversified business model position it for continued growth, with a healthy backlog and momentum across its businesses. The company's commitment to returning capital to shareholders is evident in its $812 million return of capital in 2025, including $661 million through share repurchases.

Capital Allocation and Shareholder Returns

Evercore's capital allocation strategy prioritizes returning capital to shareholders, with a focus on offsetting dilution from year-end RSU bonus grants. The company expects to repurchase shares equivalent to the RSUs issued as part of the comp cycle in 2026, maintaining a strong cash position and considering regulatory requirements, economic and business environment, and cash needs for strategic initiatives.

3. NewsRoom

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EVR vs. HOOD: Which Stock Is the Better Value Option?

Mar -06

Source: zacks.com

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Evercore Wealth Management Promotes Sean Brady to Partner

Mar -04

Source: businesswire.com

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Ben Carpenter Joins Evercore as Senior Managing Director in the Healthcare Investment Banking Group

Mar -02

Source: businesswire.com

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Morgan Stanley or Evercore: Which is a Smarter Bet Amid M&A Upcycle?

Feb -24

Source: zacks.com

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Ben Hart Joins Evercore as Senior Managing Director and Head of Asia Private Capital Advisory

Feb -23

Source: businesswire.com

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What Makes Evercore (EVR) a New Buy Stock

Feb -18

Source: zacks.com

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BGC vs. EVR: Which Stock Is the Better Value Option?

Feb -18

Source: zacks.com

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Buy These 5 Low-Leverage Stocks as Softness in Software Remains a Drag

Feb -18

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (8.94%)

6. Segments

Investment Banking & Equities

Expected Growth: 8.97%

Evercore Inc.'s 8.97% growth in Investment Banking & Equities is driven by increasing M&A activity, equity market volatility, and a strong advisory pipeline. The company's strategic expansion into new markets, enhanced product offerings, and a talented team of bankers have also contributed to this growth.

Investment Management

Expected Growth: 8.1%

Evercore Inc.'s 8.1% growth in Investment Management is driven by increasing demand for alternative assets, expansion into new markets, and strategic acquisitions. The company's expertise in wealth management and institutional client services also contributes to its growth. Additionally, the rising trend of outsourcing investment management functions by institutional investors and family offices further supports Evercore's growth momentum.

7. Detailed Products

Advisory Services

Evercore provides strategic advisory services to clients on mergers and acquisitions, divestitures, and other strategic transactions.

Equity Capital Markets

Evercore helps clients raise capital through initial public offerings, follow-on offerings, and other equity-related transactions.

Debt Capital Markets

Evercore assists clients in raising debt capital through bond issuances, high-yield bond offerings, and other debt-related transactions.

Restructuring and Debt Advisory

Evercore provides restructuring and debt advisory services to clients facing financial distress or seeking to optimize their capital structure.

Wealth Management

Evercore offers wealth management services to high-net-worth individuals, families, and institutions, providing investment advice and portfolio management.

Equity Research

Evercore provides equity research and analysis to institutional clients, covering a range of industries and sectors.

8. Evercore Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Evercore Inc. operates in a niche market, providing investment banking and investment management services. While there are substitutes available, the company's strong brand reputation and expertise in its areas of focus mitigate the threat of substitutes.

Bargaining Power Of Customers

Evercore Inc.'s clients are primarily institutional investors and corporations, which have limited bargaining power due to the company's specialized services and expertise.

Bargaining Power Of Suppliers

Evercore Inc. has a diverse range of suppliers, including technology providers, consultants, and other service providers. The company's scale and reputation give it bargaining power over its suppliers.

Threat Of New Entrants

The investment banking and investment management industries have high barriers to entry, including regulatory hurdles and the need for significant capital and expertise. This limits the threat of new entrants.

Intensity Of Rivalry

The investment banking and investment management industries are highly competitive, with many established players competing for market share. Evercore Inc. must continually innovate and differentiate itself to maintain its market position.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 20.64%
Debt Cost 3.95%
Equity Weight 79.36%
Equity Cost 11.13%
WACC 9.65%
Leverage 26.01%

11. Quality Control: Evercore Inc. passed 7 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
PJT Partners

A-Score: 6.0/10

Value: 4.3

Growth: 8.1

Quality: 6.9

Yield: 3.0

Momentum: 6.0

Volatility: 7.7

1-Year Total Return ->

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Houlihan Lokey

A-Score: 5.6/10

Value: 2.6

Growth: 6.8

Quality: 7.8

Yield: 3.0

Momentum: 5.0

Volatility: 8.3

1-Year Total Return ->

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Piper Sandler

A-Score: 5.5/10

Value: 4.1

Growth: 5.4

Quality: 6.6

Yield: 5.0

Momentum: 5.5

Volatility: 6.7

1-Year Total Return ->

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Evercore

A-Score: 5.3/10

Value: 3.0

Growth: 5.8

Quality: 8.0

Yield: 3.0

Momentum: 6.0

Volatility: 6.0

1-Year Total Return ->

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LPL Financial Holdings

A-Score: 5.3/10

Value: 4.3

Growth: 6.8

Quality: 6.5

Yield: 0.0

Momentum: 8.0

Volatility: 6.0

1-Year Total Return ->

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StoneX

A-Score: 5.1/10

Value: 7.3

Growth: 4.2

Quality: 4.6

Yield: 0.0

Momentum: 9.0

Volatility: 5.7

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

286.95$

Current Price

286.95$

Potential

-0.00%

Expected Cash-Flows