Key Takeaways
- Evercore shares jumped 12% today after its third-quarter adjusted EPS of $4.28 beat the $2.48 consensus by more than 70%.
- Revenue of $1.17 billion set a record for the sixth quarter in a row and came in well above the $925.7 million analysts expected.
- Through September, Evercore has already earned more than 80% of the adjusted EPS analysts expected for all of 2026.
- Analysts’ estimates for this year and next look set to rise, and the fourth-quarter report will show how much of Evercore’s record backlog turns into fees.
Evercore (EVR) shares jumped 12% this morning after the investment bank’s third-quarter results blew past Wall Street’s numbers.
Adjusted EPS came in at $4.28, against the $2.48 analysts expected. And founder Roger Altman put it about as plainly as a banker can: “Evercore has never been stronger than it is today.”
What exactly happened
Evercore reported before Wednesday’s open:
- Net revenue of $1.17 billion, up 12% from a year ago and about $243 million above the $925.7 million consensus
- Its sixth straight quarterly revenue record
- Advisory fees up 14% to $1.01 billion, as the firm earned more from large deals
- Revenue through September up 38%, with the adjusted operating margin up 336 basis points to 22.7%
Altman credited “market share gains, the greater breadth of our platform and a continuously expanding global presence.” The deal list backs him up, from PTC’s roughly $24 billion sale to Schneider Electric to a Broadcom deal enabling $63 billion of AI compute for Anthropic.
TIKR tracks 11 analysts on Evercore. How many say “Buy”?
See the full breakdown of Buy, Hold, and Sell ratings on Evercore, along with Wall Street’s revenue and earnings estimates, all in one place. More than 500,000 investors use TIKR to research stocks like this one. See Evercore’s Analyst Ratings
The Street’s numbers look too low
Before the report, analysts expected $4.64 billion of revenue this year…
The third quarter alone beat by about $243 million, so that figure should move up.
Through September, Evercore has already earned $14.77 a share in adjusted terms, more than 80% of the $18.11 analysts expected for all of 2026…
Next year’s $20.83 could rise too. CEO John Weinberg said on Evercore’s third-quarter call that the firm’s backlogs are at a record and keep replenishing at a healthy rate. He also said sponsor and middle-market deal activity still runs below historical levels.
Still not expensive
Before today, Evercore traded at 15x forward earnings, below its five-year average of 16x…
After the jump, it’s closer to 17x, far from its 26x peak in July 2025, and that’s on estimates that look set to rise. Evercore also bought back stock at an average of $318.41 a share this year, well above where it trades even now.
Of course, Evercore’s quarters swing with the timing of deal fees, and adjusted non-compensation costs rose 20% in the quarter.
My take: this is a firm with record backlogs, at about its usual multiple, on numbers about to go up. That still looks like a buy after today’s move. The fourth-quarter report, due early next year, will show how much of that backlog turns into fees.
So what is Evercore stock actually worth?
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any of the stocks mentioned. Thank you for reading, and happy investing!
