Raymond James Financial, Inc.

What they do

RJF provides financial planning, investment advisory, and securities transaction services to retail clients through 8,943 employee and independent contractor financial advisors, plus custodial and clearing services to third-party RIAs and broker-dealers. It also underwrites and trades equity and debt securities, provides M&A advisory, manages assets, and operates corporate and retail banking and trust services. It operates predominantly in the U.S., with activities in Canada, the UK, and other parts of Europe. The firm reports through five segments: Private Client Group, Capital Markets, Asset Management, Bank, and Other.

Revenue drivers

• Private Client Group — Advisory, brokerage, and administrative fees from retail clients and third-party RIAs; generated record quarterly net revenues of $2.84 billion in the fiscal 2026 third quarter, up 14% year over year, the largest segment.
• Asset management and related administrative fees — Fees tied to fee-based AUA, which reached a record $1.15 trillion at June 30, 2026; these fees grew to approximately $2.1 billion in the fiscal third quarter.
• Capital Markets investment banking — M&A and advisory plus equity and debt underwriting; fiscal third quarter 2026 investment banking revenue rose 40% to $285 million, helped by the GreensLedge acquisition.
• Bank segment — Net interest income from corporate and retail banking, including securities-based loans of $24.8 billion and record net bank loans of $56.2 billion at June 30, 2026.

Recent performance

For the fiscal third quarter ended June 30, 2026, RJF reported record net revenues of $3.93 billion, up 16% year over year, and net income available to common shareholders of $595 million, or a record $3.01 per diluted share. Adjusted net income was $620 million, or $3.14 per diluted share, excluding $25 million of acquisition-related expenses net of tax. Domestic Private Client Group net new assets were $21.7 billion for the quarter, or 5.5% annualized growth from beginning-of-quarter assets. Client assets under administration reached a record $1.92 trillion, up 17% over June 2025, and fee-based assets were a record $1.15 trillion. For the first nine months of fiscal 2026, net revenues were a record $11.5 billion, up 11%, and diluted EPS was a record $8.52, up 16%.

Strategy

Management attributes results to a long-term approach and a diversified business model, with stated priorities including financial advisor recruiting and strong investment banking pipelines. The firm has been acquisitive: it completed the acquisition of GreensLedge toward the end of its fiscal second quarter of 2026, which added incremental investment banking revenues and compensation expense. CEO Paul Shoukry cited 'ample capital and liquidity to support continued growth' entering the fiscal fourth quarter. Segment emphasis includes continued growth in the Private Client Group and asset management fee streams.

Risks

• Reputational harm — The 10-K states that failure to address conflicts of interest, fraud, cybersecurity, privacy, sales practices, or associate misconduct could significantly harm business prospects, given reliance on attracting clients and advisors.
• Market and interest rate sensitivity — MD&A states results are highly correlated to U.S. equity and fixed income markets, interest rates, volatility, and lending markets, which are unpredictable and beyond the firm's control.
• Investment banking cyclicality — Capital Markets revenue depends on completed transaction volumes; nine-month fiscal 2026 M&A and advisory revenue fell 11% to $408 million on lower large-transaction activity versus the prior-year period.
• Acquisition integration expense — The GreensLedge acquisition added incremental compensation and other expenses, and RJF recognized $25 million of acquisition-related expenses, net of tax, in the fiscal 2026 third quarter.

Outlook

Management said it enters the fiscal fourth quarter with 'significant momentum,' citing historically strong business drivers, robust financial advisor recruiting, and strong investment banking pipelines. It also cited ample capital and liquidity to support continued growth. No specific numerical guidance was provided in the excerpts.