Stifel Financial is rated Buy based on a 13x forward earnings multiple, which compares favorably to peer averages in the regional brokerage sector. The firm’s robust capital position—with a tangible common equity ratio above 8% and a tangible book value per share of $37.50, up 7% year-over-year—provides a buffer against market volatility and supports ongoing strategic investments. At this valuation, investors gain exposure to growth in both advisory and institutional businesses at a compelling entry point relative to historic multiples.

In the fourth quarter, wealth management net revenues rose 8% to $933.2 million, fueled by a 12% increase in asset management revenues and a 3% uptick in net interest income. Fee-based assets climbed 16% to $224.5 billion, while the firm recruited 14 financial advisors whose trailing 12-month production totaled $5.4 million. The institutional group delivered 50% year-over-year revenue growth, with advisory fees up 46% and equity capital raising nearly doubling, reflecting larger deal sizes and heightened client activity in both equity and fixed-income markets.

For the year ended December 31, 2025, net revenues reached a record $5.53 billion, an 11% increase over 2024, driven by a 26% jump in investment banking fees and 11% growth in asset management revenues. Non-GAAP EPS of $6.76 per share reflected strong operating leverage, despite a $1.16 per share drag from elevated legal provisions. The board approved an 11% increase in the common stock dividend to $0.51 per share and declared a three-for-two stock split, increasing the share count from approximately 103 million to 155 million on February 26, 2026.

Management forecasts 12% revenue growth in fiscal 2026, driven by continued expansion of advisory and capital markets activities. The firm plans aggressive balance sheet growth, targeting double-digit loan book expansion, while maintaining disciplined credit standards. Capital returns remain a priority, with ongoing share repurchases complementing dividend increases. Stifel’s strategy focuses on leveraging its integrated platform—combining wealth management, investment banking and trading—to capture market share and enhance profitability in an evolving interest rate environment.