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Evercore Stock Soars Nearly 38% in 6 Months: Is There More Room to Run?
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Key Takeaways
Evercore shares jumped 37.9% in six months, beating the industry and key peers.
Strong investment banking momentum and a solid liquidity base support performance.
Rising expenses and weak Investment Management remain near-term challenges.
Evercore Inc.’s (EVR - Free Report) shares have rallied 37.9% in the past six months, outperforming the industry’s 22% and the S&P 500 Index’s 18.3%. Further, EVR’s price performance has been better than that of its peers, Moelis & Company (MC - Free Report) and Stifel Financial Corp. (SF - Free Report) . Shares of Moelis & Company and Stifel Financial have gained 12.8% and 31%, respectively, in the same time frame.
Price Performance
Image Source: Zacks Investment Research
After its recent rally, does Evercore’s stock still offer further upside? Let’s take a closer look.
What’s Aiding EVR’s Performance?
Strong Investment Banking Franchise: The company continues to benefit from a solid business foundation that supports sustained revenue generation.
The company derives most of its revenues from its Investment Banking (IB) segment, which has delivered a healthy CAGR of 8.6% from 2017 to 2024. This momentum carried into the first nine months of 2025. After a muted environment in 2022 and 2023, global mergers and acquisitions (M&A) markets saw a meaningful recovery in 2024, with improvements in both deal value and deal volume.
While sentiment briefly softened earlier this year following the implementation of Trump’s tariff policies on 'Liberation Day,' M&A activity quickly stabilized and began to pick up again. The global M&A environment in 2025 has notably improved, driven by an increase in larger transactions and a healthy pipeline of strategic deals.
At the same time, Evercore’s ongoing efforts to expand its advisory client base, diversify revenue streams, and strengthen its geographic footprint highlighted by a recent strategic acquisition expanding its presence across nine EMEA countries continue to support its long-term growth prospects. Taken together, EVR’s investment banking remains well-positioned to drive consistent top-line expansion amid an improving and increasingly robust M&A climate.
Healthy Liquidity Position: The company maintains a strong liquidity position. As of Sept. 30, 2025, cash and cash equivalents were $851.9 million, and investment securities and certificates of deposit were $1.6 billion. Total notes payable was $588.3 million as of Sept. 30, 2025. Moreover, current assets exceed current liabilities by $2 billion. At the end of the third quarter, Evercore's times interest earned ratio of 36.2 remained quite impressive. With a sound liquidity position, the company is less likely to default on interest and debt repayments in case of an economic slowdown. Thus, a solid liquidity position makes Evercore less vulnerable to default risks during economic slowdowns.
Stable Capital Return Policy: EVR continues to demonstrate its commitment to shareholder value through steady capital-return actions. In April 2025, the company raised its quarterly dividend by 5% to 84 cents per share. Over the past six years ending in 2024, its annual dividend per share increased at a 10.4% CAGR, highlighting a strong and consistent track record of payout growth. The company has boosted its dividend five times in the past five years while maintaining a manageable payout ratio of 26%. EVR currently offers a dividend yield of 1.05%. Among peers, Moelis & Company yields 4.05%, while Stifel Financial yields 1.51%.
The company also supports shareholder value through an active share repurchase program. After introducing a $1.4 billion authorization in February 2022, the board approved an additional $1.6 billion buyback plan in April 2025. As of Sept. 30, 2025, Evercore still had $2.2 billion available for repurchases. Backed by its solid liquidity position, these measures highlight the durability of its capital-return strategy and underscore the firm’s continued commitment to shareholders.
Strong Return on Equity (ROE): The company continues to showcase strong efficiency in deploying shareholder capital, delivering a trailing 12-month ROE of 29.56%. This figure is well above the industry average of 15.87%, underscoring the firm’s operational strength and compelling value proposition. Meanwhile, the ROE of its peers, Moelis & Company and Stifel Financial is 45.62% and 14.95%, respectively.
Near-Term Hurdles for EVR
Weak Investment Management Performance: EVR continues to face certain operational challenges that could temper its near-term performance. The company’s Investment Management segment contributes only a small share of total revenues, and its growth has remained subdued in recent years due to the sale and restructuring of several related businesses. Additionally, fluctuations in institutional asset under management (AUM), particularly those driven by foreign exchange movements, can pressure fees and further limit segment performance.
Rising Expense Base: Persistent cost pressures remain another area of concern for Evercore. The company’s expenses have registered a CAGR of 9.8% over the seven years ending 2024, and this upward trend has continued through the first nine months of 2025. Higher employee compensation and benefits, coupled with increased travel and related expenses, are expected to keep overall costs elevated. As a result, these rising expenditures could constrain bottom-line growth in the coming quarters. In summary, Evercore’s increasing cost structure poses a notable headwind for profitability.
How to Approach EVR Stock Now?
Over the past month, the Zacks Consensus Estimate for earnings per share has been revised upward to $13.53 for 2025, whereas it has been revised downward to $18.22 for 2026.
Estimate Revision Trend
Image Source: Zacks Investment Research
The projected figures imply growth of 43.6% and 34.7% for 2025 and 2026, respectively.
In terms of valuation, EVR stock appears expensive relative to the industry. The company is currently trading at a 12-month trailing price-to-earnings P/E ratio of 17.9X, higher than the industry’s 14.6X. Meanwhile, Moelis & Company holds a P/E ratio of 19.6X, while Stifel Financial’ P/E ratio stands at 13.1X.
Price-to-Earnings F12 M
Image Source: Zacks Investment Research
Evercore’s strong advisory momentum, solid liquidity position, and consistent capital distribution strategy is expected to support its performance over the long run. These strengths, combined with a healthier M&A backdrop, reinforce the company’s ability to deliver steady growth in the years ahead.
However, a rising expense base, sluggish Investment Management segment performance, and intensifying competitive pressures present notable near-term challenges. EVR’s performance in the coming quarters will largely depend on how effectively it manages these headwinds while sustaining its growth trajectory.
Investors already holding the stock may consider maintaining their positions, as Evercore’s solid fundamentals and improving deal-making environment make it less likely to disappoint over the long term. Those looking to buy the stock might prefer to wait for a better entry point before investing.
Image: Shutterstock
Evercore Stock Soars Nearly 38% in 6 Months: Is There More Room to Run?
Key Takeaways
Evercore Inc.’s (EVR - Free Report) shares have rallied 37.9% in the past six months, outperforming the industry’s 22% and the S&P 500 Index’s 18.3%. Further, EVR’s price performance has been better than that of its peers, Moelis & Company (MC - Free Report) and Stifel Financial Corp. (SF - Free Report) . Shares of Moelis & Company and Stifel Financial have gained 12.8% and 31%, respectively, in the same time frame.
Price Performance
Image Source: Zacks Investment Research
After its recent rally, does Evercore’s stock still offer further upside? Let’s take a closer look.
What’s Aiding EVR’s Performance?
Strong Investment Banking Franchise: The company continues to benefit from a solid business foundation that supports sustained revenue generation.
The company derives most of its revenues from its Investment Banking (IB) segment, which has delivered a healthy CAGR of 8.6% from 2017 to 2024. This momentum carried into the first nine months of 2025. After a muted environment in 2022 and 2023, global mergers and acquisitions (M&A) markets saw a meaningful recovery in 2024, with improvements in both deal value and deal volume.
While sentiment briefly softened earlier this year following the implementation of Trump’s tariff policies on 'Liberation Day,' M&A activity quickly stabilized and began to pick up again. The global M&A environment in 2025 has notably improved, driven by an increase in larger transactions and a healthy pipeline of strategic deals.
At the same time, Evercore’s ongoing efforts to expand its advisory client base, diversify revenue streams, and strengthen its geographic footprint highlighted by a recent strategic acquisition expanding its presence across nine EMEA countries continue to support its long-term growth prospects. Taken together, EVR’s investment banking remains well-positioned to drive consistent top-line expansion amid an improving and increasingly robust M&A climate.
Healthy Liquidity Position: The company maintains a strong liquidity position. As of Sept. 30, 2025, cash and cash equivalents were $851.9 million, and investment securities and certificates of deposit were $1.6 billion. Total notes payable was $588.3 million as of Sept. 30, 2025. Moreover, current assets exceed current liabilities by $2 billion. At the end of the third quarter, Evercore's times interest earned ratio of 36.2 remained quite impressive. With a sound liquidity position, the company is less likely to default on interest and debt repayments in case of an economic slowdown. Thus, a solid liquidity position makes Evercore less vulnerable to default risks during economic slowdowns.
Stable Capital Return Policy: EVR continues to demonstrate its commitment to shareholder value through steady capital-return actions. In April 2025, the company raised its quarterly dividend by 5% to 84 cents per share. Over the past six years ending in 2024, its annual dividend per share increased at a 10.4% CAGR, highlighting a strong and consistent track record of payout growth. The company has boosted its dividend five times in the past five years while maintaining a manageable payout ratio of 26%. EVR currently offers a dividend yield of 1.05%. Among peers, Moelis & Company yields 4.05%, while Stifel Financial yields 1.51%.
Evercore Inc Dividend Yield (TTM)
Evercore Inc dividend-yield-ttm | Evercore Inc Quote
The company also supports shareholder value through an active share repurchase program. After introducing a $1.4 billion authorization in February 2022, the board approved an additional $1.6 billion buyback plan in April 2025. As of Sept. 30, 2025, Evercore still had $2.2 billion available for repurchases. Backed by its solid liquidity position, these measures highlight the durability of its capital-return strategy and underscore the firm’s continued commitment to shareholders.
Strong Return on Equity (ROE): The company continues to showcase strong efficiency in deploying shareholder capital, delivering a trailing 12-month ROE of 29.56%. This figure is well above the industry average of 15.87%, underscoring the firm’s operational strength and compelling value proposition. Meanwhile, the ROE of its peers, Moelis & Company and Stifel Financial is 45.62% and 14.95%, respectively.
Near-Term Hurdles for EVR
Weak Investment Management Performance: EVR continues to face certain operational challenges that could temper its near-term performance. The company’s Investment Management segment contributes only a small share of total revenues, and its growth has remained subdued in recent years due to the sale and restructuring of several related businesses. Additionally, fluctuations in institutional asset under management (AUM), particularly those driven by foreign exchange movements, can pressure fees and further limit segment performance.
Rising Expense Base: Persistent cost pressures remain another area of concern for Evercore. The company’s expenses have registered a CAGR of 9.8% over the seven years ending 2024, and this upward trend has continued through the first nine months of 2025. Higher employee compensation and benefits, coupled with increased travel and related expenses, are expected to keep overall costs elevated. As a result, these rising expenditures could constrain bottom-line growth in the coming quarters. In summary, Evercore’s increasing cost structure poses a notable headwind for profitability.
How to Approach EVR Stock Now?
Over the past month, the Zacks Consensus Estimate for earnings per share has been revised upward to $13.53 for 2025, whereas it has been revised downward to $18.22 for 2026.
Estimate Revision Trend
Image Source: Zacks Investment Research
The projected figures imply growth of 43.6% and 34.7% for 2025 and 2026, respectively.
In terms of valuation, EVR stock appears expensive relative to the industry. The company is currently trading at a 12-month trailing price-to-earnings P/E ratio of 17.9X, higher than the industry’s 14.6X. Meanwhile, Moelis & Company holds a P/E ratio of 19.6X, while Stifel Financial’ P/E ratio stands at 13.1X.
Price-to-Earnings F12 M
Image Source: Zacks Investment Research
Evercore’s strong advisory momentum, solid liquidity position, and consistent capital distribution strategy is expected to support its performance over the long run. These strengths, combined with a healthier M&A backdrop, reinforce the company’s ability to deliver steady growth in the years ahead.
However, a rising expense base, sluggish Investment Management segment performance, and intensifying competitive pressures present notable near-term challenges. EVR’s performance in the coming quarters will largely depend on how effectively it manages these headwinds while sustaining its growth trajectory.
Investors already holding the stock may consider maintaining their positions, as Evercore’s solid fundamentals and improving deal-making environment make it less likely to disappoint over the long term. Those looking to buy the stock might prefer to wait for a better entry point before investing.
Currently, EVR stock carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.