Stifel Financial 2025 Q2 Earnings Net Income Declines 6.2%

Stifel Financial (SF) reported its fiscal 2025 Q2 earnings on July 30th, 2025. The total revenue of Stifel Financial increased by 1.8% to $1.49 billion in 2025 Q2, up from $1.47 billion in 2024 Q2. Stifel Financial's Q2 2025 results missed expectations, with a decline in EPS to $1.41 from $1.50 in the prior year. The company maintained its guidance, expecting continued momentum in its Institutional business and key growth areas. Stifel remains optimistic about its performance in the second half of the year, supported by strong recruiting efforts and a diversified business model.

Revenue

The total revenue of Stifel Financial increased by 1.8% to $1.49 billion in 2025 Q2, up from $1.47 billion in 2024 Q2.

Earnings/Net Income

Stifel Financial's EPS declined 6.0% to $1.41 in 2025 Q2 from $1.50 in 2024 Q2. Meanwhile, the company's net income declined to $155.06 million in 2025 Q2, down 6.2% from $165.29 million reported in 2024 Q2. This decline in EPS indicates a challenging earnings period for the company.

Price Action

The stock price of Stifel Financial has edged down 1.88% during the latest trading day, climbed 3.14% during the most recent full trading week, and jumped 10.03% month-to-date.

Post-Earnings Price Action Review

Stifel Financial's strategy of buying its stock when revenues exceed expectations and holding for 30 days has historically delivered robust returns. This approach yielded a 273.66% return, significantly outperforming the benchmark return of 87.61%. This strategy's excess return stood at 186.05%, with a compounded annual growth rate (CAGR) of 30.38%, indicating substantial growth potential. Furthermore, the strategy demonstrated excellent risk management, reflected in a maximum drawdown of 0.00% and a Sharpe ratio of 0.94. These metrics suggest the strategy is a compelling option for investors seeking both growth and stability, as it has effectively balanced returns with risk management.

CEO Commentary

Ronald J. Kruszewski, Chairman and Chief Executive Officer, remarked, “We achieved the best second quarter in our history, generating over $1.28 billion in net revenue and $1.71 in core EPS despite a challenging April. These results reflect the strength of our diversified, advice-driven model and the consistency of our performance across market cycles. With our strongest financial advisor recruiting quarter in 10 years, growing momentum in our Institutional business, and continued progress in key growth areas, we are confident about the second half of the year and beyond.”

Guidance

The company expressed confidence in its performance, indicating strong momentum in the Institutional business and key growth areas. Stifel anticipates continued positive results in the second half of the year, bolstered by a robust recruiting effort and a well-diversified model. Overall, the leadership outlook is optimistic regarding future performance and growth prospects.

Additional News

Stifel Financial recently completed the acquisition of Bryan Garnier, a European boutique investment bank focused on healthcare and technology sectors. This strategic move is expected to strengthen Stifel's advisory and investment banking operations in Europe, shifting away from sales and trading. Additionally, Stifel announced the recruitment of 82 new financial advisors, marking its strongest recruiting quarter in a decade. This recruitment drive, including 36 advisors from B. Riley, is anticipated to enhance the company's client assets and fee-based revenue streams. Furthermore, Stifel has been actively repurchasing shares, with $83 million allocated for buybacks during the quarter, demonstrating its commitment to returning value to shareholders.