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Raymond James financial president sells $205,141 in stock

Published 06/12/2024, 17:32
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Shannon B. Reid, President of Raymond James Financial Inc . (NYSE:RJF), recently sold 1,241 shares of common stock in an open market transaction. The shares were sold at an average price of $165.30 per share, totaling approximately $205,141. The sale comes as RJF trades near its 52-week high of $171.38, with the stock delivering an impressive 50% return year-to-date. According to InvestingPro analysis, the company appears slightly undervalued at current levels. Following the sale, Reid holds 7,079 shares directly.

Additionally, the Form 4 filing includes a disclosure of a gift transaction involving 315 shares, which did not involve any monetary exchange. Reid's direct ownership now stands at 7,079 shares, with an additional 2,077 shares held indirectly through an Employee Stock Ownership Plan (ESOP). The $35.26B market cap company maintains strong financial health, with InvestingPro highlighting its 40-year track record of consistent dividend payments and attractive P/E ratio of 13.7x. For deeper insights into insider trading patterns and comprehensive financial analysis, investors can access the detailed Pro Research Report available on InvestingPro.

In other recent news, Raymond James Financial has announced several key developments. The company reported record fourth-quarter revenues of $3.46 billion and a net income of $601 million, primarily driven by a rise in advisory revenue and a robust investment banking performance. The company also saw total client assets reach a record $1.57 trillion and net new assets of $60.7 billion domestically for the year.

Raymond (NS:RYMD) James also increased its quarterly dividend and authorized a new share repurchase program. The company's board of directors declared a quarterly cash dividend of $0.50 per share on its common stock, marking an 11.1% increase from the prior dividend. Additionally, Raymond James authorized a new stock repurchase program that allows the company to buy back shares up to an aggregate amount of $1.5 billion.

Several analyst firms have revised their outlooks on Raymond James following these results. TD Cowen maintained a Hold rating but increased the price target to $150.00. BofA Securities and Citi also increased their price targets to $152 and $145, respectively, following the company's earnings per share beat.

Looking ahead, Raymond James anticipates an additional $5 billion in outflows in the first quarter due to the offboarding of an Office of Supervisory Jurisdiction. However, BofA expects net new assets to normalize, projecting a 5-7% growth rate for the following year. Raymond James maintains an optimistic outlook for fiscal 2025, expecting growth driven by increases in assets and fee-based accounts.

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