Stifel Financial (SF) Soars 8.03% on Asset Growth, Highest Since March 2025

Stifel Financial (SF) shares surged 0.51% today, marking the seventh consecutive day of gains, with a 8.03% increase over the past week. The stock price reached its highest level since March 2025, with an intraday gain of 1.70%.

The strategy of buying SF shares after they reached a recent high and holding for 1 week showed poor performance over the past 5 years. The annualized return was -12.2%, significantly underperforming the market. This indicates that relying on recent highs as a buying trigger and holding for a short duration is not a profitable strategy for SF.

Stifel Financial Corp. reported an 8% year-over-year increase in total client assets, reaching $501.4 million as of May 31, 2025. This growth was driven by market appreciation and successful recruitment of financial advisors. Fee-based client assets also saw a significant rise of 13% year over year and 4% sequentially, indicating strong client retention and acquisition efforts.

Despite these positive trends, the company projected a 10% decrease in investment banking revenue for the second quarter of 2025 compared to the same period in 2024. This projection was attributed to prior market volatility, which had impacted the company's revenue streams. However, the investment banking pipeline showed strengthening momentum as the market stabilized, suggesting a potential rebound in the coming quarters.

Stifel's Relative Strength Rating was upgraded from 65 to 73, reflecting market optimism and investor confidence in the company's future prospects. This upgrade, combined with the growth in assets, has likely contributed to the recent surge in the company's stock price. However, the company's revenue slightly missed forecasts due to a $180 million legal charge, which may have tempered some of the enthusiasm among investors.