Stifel Financial Corp. (SF) Market Cap

Stifel Financial Corp. (SF) has a market capitalization of $11.46B, based on the latest available market data.

Financials updated after earnings reported 2026-01-26.

Sector: Financial Services
Industry: Financial - Capital Markets
Employees: 8887
Exchange: New York Stock Exchange
Headquarters: Saint Louis, MO, US
Website: https://www.stifel.com

Loading company profile...

Expand full investment commentary ▼

📘 STIFEL FINANCIAL CORP (SF) — Investment Overview

🧩 Business Model Overview

Stifel Financial Corp (SF) operates as a diversified financial services holding company, with primary activities spanning across wealth management, institutional group services, and investment banking. Founded in 1890 and headquartered in St. Louis, Missouri, Stifel offers a full suite of financial solutions through subsidiaries, positioning itself as a prominent mid-market player in the U.S. financial sector. The firm's philosophy revolves around a client-first approach, focusing on comprehensive financial planning, transactional execution, research, and advisory services for a broad spectrum of clients, including individuals, municipalities, and corporations. SF's business model is structurally balanced between recurring, fee-based revenues and cyclical, transaction-driven earnings. With an extensive network of financial advisors and a growing institutional business, Stifel has gained traction as a nimble alternative to large bulge-bracket firms, delivering personalized services and leveraging its regional market strength.

💰 Revenue Streams & Monetisation Model

Stifel generates revenue through a diversified blend of streams, primarily categorized into: - **Global Wealth Management:** Income is driven by advisory fees from client assets under management (AUM), commissions on brokerage transactions, interest income from margin lending, and fees from financial planning and insurance products. Wealth Management represents a significant, stable revenue base, with a high proportion of recurring fees linked to client AUM. - **Institutional Group:** This segment encompasses capital markets, investment banking, and institutional brokerage services. Revenue sources include underwriting fees, advisory fees from mergers & acquisitions, equity and debt financing activities, as well as commissions from institutional trading and research. - **Asset Management:** Stifel operates proprietary asset management products, generating management and performance fees. This segment complements the company’s broader wealth and institutional offerings. The diversity in monetisation methods allows Stifel to weather market cycles, cushioning the impact of volatility in any single revenue line.

🧠 Competitive Advantages & Market Positioning

Stifel distinguishes itself through several structural and strategic advantages: - **Mid-market Focus:** By targeting mid-sized corporate clients and high-net-worth individuals, SF operates in a space often underserved by global investment banks but too sophisticated for smaller local brokerages. This niche enables higher margins and less direct competition from industry giants. - **Acquisitive Growth Track Record:** Stifel has executed a disciplined acquisition strategy, integrating financial advisory firms, boutique investment banks, and regional brokerages. This approach has rapidly expanded its advisor base, geographical footprint, and client reach while maintaining a cohesive culture and platform. - **Advisor-Centric Model:** The firm invests in advisor support, robust training, and flexible yet comprehensive infrastructure, attracting experienced advisors and translating into strong client retention. - **Diverse Revenue Mix:** With a balance between fee-based and transactional income, and an increasing tilt toward recurring wealth management revenues, Stifel has mitigated cyclicality versus peers with heavier reliance on investment banking.

🚀 Multi-Year Growth Drivers

Stifel’s long-term growth prospects are underpinned by several secular and company-specific catalysts: - **Wealth Management Industry Tailwinds:** The ongoing shift of baby boomer assets into retirement, increased demand for financial advice, and intergenerational wealth transfer bolster advisor-led AUM growth. - **Cross-Selling & Platform Integration:** Expanding its product suite and integrating acquired businesses unlocks cross-selling potential in lending, insurance, and asset management, driving wallet share expansion. - **Advisor Recruitment & Retention:** Stifel's model and culture appeal to experienced advisors from wirehouses and competitors, fueling organic net new asset growth. - **Selective M&A:** Strategic acquisitions in domestic and international markets expand Stifel’s platform capabilities and geographic reach, with potential for accretive synergies. - **Investment Banking Expansion:** Targeting mid-market M&A and capital raising activities, Stifel capitalizes on the secular trend toward increased corporate activity in this segment.

⚠ Risk Factors to Monitor

Although Stifel possesses multiple strengths, investors should remain cognizant of key risk considerations: - **Market Sensitivity:** A downturn in equity and fixed income markets could negatively impact transaction volumes, asset values, and investment banking activity, compressing revenues. - **Regulatory & Compliance:** As a regulated entity, Stifel faces ongoing compliance costs and potential exposures to litigation or regulatory changes impacting business practices or capital requirements. - **Integration Risks:** Ongoing acquisitions carry execution risks related to cultural alignment, integration expenses, and client/advisor retention. - **Competition:** Pressure from both bulge-bracket firms expanding down-market and digital platforms targeting affluent investors could erode Stifel's niche. - **Interest Rate Dynamics:** Fluctuations in interest rates may affect net interest income from margin lending and influence client behavior in wealth and asset management.

📊 Valuation & Market View

Stifel is typically valued at a discount to larger, globally diverse financial institutions, reflecting its mid-sized status, acquisitive strategy, and less diversified international exposure. The firm often trades at modest forward earnings multiples compared to peer averages, supported by above-peer revenue growth, strong returns on equity, and a disciplined capital return policy. Evaluating normalized earnings metrics, Stifel’s balanced business mix contributes to resilient cash flows and predictable book value growth. The company's capital-light model and increasing share of recurring revenues underpin a solid risk-adjusted valuation proposition. Growth investors may note embedded optionality from M&A, while value-oriented market participants may appreciate the company's stable margin profile and prudent balance sheet management.

🔍 Investment Takeaway

Stifel Financial Corp represents a differentiated play on the resilient U.S. financial intermediary landscape, combining the scale and breadth of a full-service platform with the agility to target underpenetrated markets. Its advisor-centric model, recurring wealth management revenues, and record of accretive acquisitions provide a defensible moat. While exposed to market cycles and carrying typical risks associated with financial services M&A and regulation, Stifel's diversified approach and incremental expansion into higher-margin services offer long-term compounding potential. The stock appeals to investors seeking exposure to U.S. capital markets and wealth management growth trends, situated within a consistent, mid-cap operator with a shareholder-friendly orientation.

⚠ AI-generated — informational only. Validate using filings before investing.

📢 Show latest earnings summary

SF Q4 2025 Earnings Summary

Overall summary: Stifel delivered record Q4 and full-year 2025 results with broad-based strength in wealth and institutional businesses, robust advisory and underwriting activity, and disciplined expense control. Capital remains strong, enabling buybacks, an 11% dividend increase, and a 3-for-2 split. Management issued constructive 2026 guidance with improved operating leverage, growing NII, and strong pipelines across advisory, ECM, and public finance, while remaining mindful of macro volatility and policy risks.

Growth

  • 2025 firm-wide revenue $5.5B, up 11% y/y; first time exceeding $5B
  • Global Wealth Management revenue >$3.5B, 23rd consecutive record year
  • Institutional full-year revenue >$1.9B, up 20% y/y (second strongest year)
  • Record total client assets $552B; fee-based assets $225B; net new assets low-to-mid single digits
  • Recruiting: 181 FAs added in 2025, including 92 experienced with $86M TTM production; strongest since 2018

Business development

  • Acquired Brian Garnier and B. Riley’s employee wealth business
  • Announced sale of Stifel Independent Advisors (SIA)
  • Closed European equities business (combined ~$100M annual revenue removed from 2026 guidance)
  • KBW advised on ~75% of depository M&A by volume in 2025; announced Stellar sale to Prosperity Bank
  • J.D. Power #1 in employee adviser satisfaction for the third consecutive year

Financials

  • Q4 revenue $1.56B (+14% y/y), record; EPS $2.63; pretax margin >22%; ROTCE >31%
  • 2025 EPS ex-Q1 legal accrual $7.92; pretax margin 21%; ROTCE ~25%
  • Q4 investment banking revenue $456M (+50% y/y): advisory $277M (+46%); ECM $95M (2x y/y); fixed income underwriting record $76M (+23%)
  • Q4 transactional revenue -10% y/y on lower fixed income; equity transactional +6% y/y
  • Net interest income at high end of guidance; $2M below consensus
  • Compensation ratio 58% for Q4 and FY; adjusted non-comp operating ratio improved 200 bps q/q and 140 bps for FY (ex-Q1 legal accrual)
  • Effective tax rate 14.1% in Q4

Capital & funding

  • Tier 1 leverage ratio 11.4%; Tier 1 risk-based capital 18.3%
  • Excess capital >$560M (based on 10% Tier 1 leverage target)
  • Repurchased 335K shares in Q4; 7.6M shares remaining under authorization
  • Board approved 11% dividend increase beginning 2026 and a 3-for-2 stock split (record 2/12/26; payable 2/26/26)
  • Client sweep balances +$510M; non-wealth client funding +~$1.5B; third-party money fund balances +$1.4B in Q4
  • 2026 NII guidance: $1.1B–$1.2B (company); Wealth NII expected $275M–$285M
  • Planned ~$4B balance sheet growth in 2026; $41B balance sheet supports client lending/treasury

Operations & strategy

  • Advice-led, integrated wealth and institutional model; ~80% fee/commission businesses, ~20% NII
  • Balance sheet used to support client needs (lending, cash management), not as standalone business
  • Actions to simplify and enhance operating leverage (SIA sale, European equities exit)
  • Venture initiative driving deposits, lending, and fund financing activity
  • Maintaining conservative credit risk profile; floating-rate assets/liabilities keep model relatively rate-agnostic

Market & outlook

  • Constructive 2026 setup with high client engagement and strong advisory/IB pipelines
  • 2026 total net revenue guidance: $6.0B–$6.35B (excludes ~$100M from divested/closed units)
  • Expense guidance: compensation ratio 56.5%–57.5%; non-comp operating ratio 18%–20%
  • Active ECM across sectors; robust health care issuance and growing biotech IPO backlog
  • Financial institutions activity strong; technology/industrial tech supported by AI and infrastructure trends
  • Public finance backlog strong; #1 negotiated issue manager by deal count
  • Normalization of the yield curve viewed as positive for fixed income rates and credit businesses
  • Recruiting pipeline remains strong; expecting another solid year

Risks & headwinds

  • Market volatility, geopolitical risk, and policy uncertainty
  • Government shutdown impacted fixed income transactional revenue
  • Acknowledgement that market conditions can change quickly

Sentiment: positive

📊 Stifel Financial Corp. (SF) — AI Scoring Summary

📊 AI Stock Rating — Summary

In the latest quarter ending January 26, 2026, SF reported a revenue of approximately $1.75 billion and a net income of $264.4 million, resulting in an earnings per share (EPS) of $2.48. The free cash flow (FCF) stood at $321.1 million. The company achieved a net profit margin of 15.1%. Year-over-year revenue growth was relatively stable, with further positive indicators in its cash flow and profitability metrics. The company's total assets were reported at approximately $41.7 billion, with a noteworthy negative net debt position of $530.9 million indicating strong liquidity. The balance sheet further showed strong equity of $5.76 billion. Notable shareholder returns include stock repurchases and dividends, with $52.8 million dividends paid last year. Price targets muse on potential stock appreciation, ranging up to $150, suggesting positive market valuation. Despite the absence of metrics, the historical FCF yield, debt/equity ratio, and return on equity could imply solid valuation, although these weren't individually listed.

AI Score Breakdown

Revenue Growth — Score: 7/10

The revenue growth appears stable with a significant quarterly revenue of $1.75 billion. The main drivers include consistent sales and potentially positive market conditions.

Profitability — Score: 8/10

Net margin is healthy at 15.1%, with EPS at $2.48 signaling strong profitability. Efficient operations and cost management are evident.

Cash Flow Quality — Score: 8/10

Free cash flow is strong at $321.1 million. Continued investment in capex and liquidity measures like buybacks and dividends boost cash flow appeal.

Leverage & Balance Sheet — Score: 9/10

An excellent financial position with negative net debt, signaling strong liquidity, and total equity of $5.76 billion grants resilience.

Shareholder Returns — Score: 5/10

While dividends are paid consistently, the stock's recent performance needs assessment against price targets. Without explicit performance data on price changes, ranking reflects a balanced view.

Analyst Sentiment & Valuation — Score: 7/10

Analyst price targets up to $150 suggest potential upside. Without specific metrics, generally perceived as fairly valued, given strong fundamentals.

⚠ AI-generated — informational only, not financial advice.

SEC Filings

Related Companies in Financial Services

HLI logo

HOULIHAN LOKEY INC CLASS A (HLI)

Financial Services

$11.48B

AIZ logo

ASSURANT INC (AIZ)

Financial Services

$11.50B

EQH logo

EQUITABLE HOLDINGS INC (EQH)

Financial Services

$11.52B

GL logo

GLOBE LIFE INC (GL)

Financial Services

$11.56B

XP logo

XP CLASS A INC (XP)

Financial Services

$11.35B

CMA logo

COMERICA INC (CMA)

Financial Services

$11.35B