BUZZ-Jefferies rises after Oppenheimer upgrades stock
Jefferies Financial Group's shares rose 0.6% to $49.09 after Oppenheimer upgraded the stock to "outperform" following a "compelling" investor day presentation. Despite this, the stock had previously plunged 10.6% amid concerns over the bank's involvement in the First Brands collapse, which analysts believe could harm its reputation and expose it to litigation and regulatory fines. Year-to-date, JEF stock is down 37.8%.
Investment bank Jefferies Financial Group’s (JEF.N) shares rise 0.6% to $49.09 premarket Stock plunged 10.6% on Thursday as JEF hosted its annual investor day, which was closed to the press
Oppenheimer upgrades JEF to “outperform” from “perform,” citing a “compelling” investor day presentation
Separately, JEF on Friday released a copy of the transcript of the investor day meeting, where its top executives said the bank’s fund caught up in the collapse of First Brands is entirely separate from its investment banking business
Morgan Stanley analysts said the First Brands fiasco had tarnished a positive message at investor day, adding that some questions were left unanswered on what exactly went wrong and whether or not JEF could have mitigated risk in advance
Analysts say the episode could result in a reputational hit for the bank apart from litigation exposure and regulatory fines
As of last close, JEF stock down 37.8% YTD
