-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
Following Q1 results, we lower our 12-month target price by $7 to $84, applying a forward P/E of 11.9x our 2027 EPS view, in line with SF's 10-year historical forward P/E average and the peer average. We decrease our 2026 EPS estimate to $6.35 from $6.43 and 2027's to $7.04 from $7.23. Our revenue projections are $6.12B (+10%) in 2026 and $6.74B (+10%) in 2027. Our revision reflects a more cautious outlook despite a strong quarter in which both segments performed well, with the Institutional Group surging 29% Y/Y on record investment banking and Global Wealth Management up 10%. While we remain positive on SF's strong investment banking pipeline, we temper our forecast due to increasing macroeconomic and geopolitical uncertainty, which could affect the timing of future business. Still, the positive margin impact from the recent sale of SIA and the European equities restructuring should provide a structural tailwind to profitability.