Start here if you're new
what it is
Piper Sandler helps companies raise money, sell themselves, and trade bonds and stocks, then takes a fee every time money moves.
how it gets paid
Last year Piper Sandler Cos made $1.8B in revenue. advisory services was the main engine at $0.79B, or 44% of sales.
why it's growing
Revenue grew 21.7% last year. The company finished september with 183 investment banking managing directors and added eight new mds to its technology group this year.
what just happened
The latest quarter landed at $6.88 EPS versus a $3.74 estimate, a massive beat for a firm priced like deal activity should stay open.
At a glance
B++ balance sheet — above average — nothing keeping you up at night
55/100 earnings predictability — expect surprises
24.1x trailing p/e — priced about right
1.7% dividend yield — cash in your pocket every quarter
18.0% return on capital — nothing to write home about
xvary composite: 61/100 — average
What they do
Piper Sandler helps companies raise money, sell themselves, and trade bonds and stocks, then takes a fee every time money moves.
This business wins when CEOs, private equity firms, and cities need an adviser they already trust. Piper has about 1,725 employees and an 18.0% return on capital, which means return on capital → profit earned on money put into the business → this firm turns relationships into real earnings better than most peers. You are paying for a franchise that gets called when deals reopen, not a commodity broker fighting for pennies.
How they make money
$1.8B
annual revenue · their business grew +21.7% last year
advisory services
$0.79B
+32.0%
corporate financing
$0.34B
+18.0%
municipal financing
$0.24B
+6.0%
equity brokerage
$0.22B
+4.0%
fixed income services
$0.21B
+9.0%
The products that matter
sell-side advisory work
Financial Advisory
part of the $1.8B revenue base
pre-quarter commentary pointed to advisory strength ahead of the quarter. in this business, closed deals are the difference between a loud quarter and a quiet one.
deal fees
equity and debt issuance
Capital Markets
supports full-year EPS of $14.60
management commentary said debt capital markets advisory was on pace for a record year even as corporate financing was expected to moderate. translation: one fee pool stayed hot while another cooled.
cycle lever
public finance and research reach
Public Finance + Research
183 managing directors
municipal financing was expected to hold steady, and the platform finished september with 183 investment banking managing directors. this is the coverage footprint you are paying for.
relationships
Key numbers
$433
18-month target
The 18-month target is $433 versus $351.46 today, so your upside case is about 23% if earnings keep climbing.
18.0%
return on capital
Return on capital → profit from money invested in the business → Piper is turning relationships and talent into healthy returns.
24.1x
trailing p/e
Trailing P/E → price compared with the last 12 months of earnings → you are not buying this like a distressed broker.
$15.60
FY2026 EPS est.
That estimate is above $14.60 in FY2025, so the bull case still depends on earnings growth, not just a richer multiple.
Financial health
B++
strength
- balance sheet grade B++ — above average financial health
- risk rank 3 — safer than 50% of stocks
- price stability 50 / 100
- net profit margin 15.0% — keeps 15 cents of every dollar in revenue
- return on equity 18% — $0.18 profit for every $1 investors have put in
B++ — functional but not a standout on the balance sheet.
Total return vs. market
You invested $10,000 in PIPR 3 years ago → it's now worth $28,090.
The index would have given you $13,920.
source: institutional data · total return
What just happened
beat estimates
The latest quarter landed at $6.88 EPS versus a $3.74 estimate, a massive beat for a firm priced like deal activity should stay open.
Quarterly EPS went from $4.80 in 2024's fourth quarter to $6.88 in the latest reported quarter based on consensus verification. also flagged advisory strength and said fourth-quarter revenue should reach about $456 million.
$456M
quarter revenue run-rate
$6.88
eps
15.0%
net margin
the number that mattered
The number was $6.88 EPS because it beat the $3.74 estimate by 83.96%, which tells you the deal backdrop was better than the market expected.
-
piper sandler will likely post solid fourth-quarter results.
-
revenues should reach around $456 million, aided by strength in advisory services.the advisory pipeline remains robust, and management stated fees were likely to match last year’s fourth-quarter level.
-
corporate financing is likely to moderate, though the debt capital markets advisory unit is on pace for a record year.
-
municipal financing should hold steady, with specialty sectors supporting activity.
-
fixed income should benefit as customers reposition their financial leverage amid lower interest rates.the company finished september with 183 investment banking managing directors and added eight new mds to its technology group this year, helping the top line, but compensation costs will probably rise with improved performance.
source: consensus data and company commentary, 2026
Get this snapshot in your inbox
This page, delivered free — plus weekly updates when the numbers change. plain english, no spam.
weekly updates
earnings alerts
plain english
no spam
What could go wrong
Piper Sandler is not dealing with some vague market problem. The real risk is simpler: 2025 was good for fees, and the stock already acts like a good fee year is durable.
med
advisory and underwriting activity cools after a strong year
Piper Sandler just grew revenue 21.7% to $1.8B. In a fee business, that kind of acceleration does not need much of a pause to look temporary instead of repeatable.
if revenue slips while the stock still trades at 24.1x trailing earnings, valuation stops looking like a compliment and starts looking like a problem.
med
compensation pressure rises as banker count rises
the firm ended september with 183 investment banking managing directors and added eight more in technology this year. that's helpful for mandates and less helpful for expense control.
a business earning a 15.8% net margin does not need a dramatic cost jump for earnings to feel thinner fast.
med
the strongest fee pockets stop carrying the quarter
commentary pointed to a record year in debt capital markets advisory while corporate financing was expected to moderate. if the bright spot cools too, the diversification story gets thinner.
quarterly revenue was not shown here, so you have less visibility into which fee streams are doing the heavy lifting.
med
multiple compression near the top of the range
the stock trades at $351.46 against a 52-week range of $162–$375. that's much closer to the high than the low, which means sentiment has already done some of the work.
if the next report looks merely fine instead of clearly stronger, you could get a reset without the business being broken.
these risks all hit the same place: a $1.8B revenue firm that earned $14.60 per share last year and now trades as if those earnings deserve the benefit of the doubt.
source: institutional data · regulatory filings · risk analysis
Pay attention to
catalyst
whether revenue can build on the 21.7% jump
$1.8B of revenue is the number to defend now. if growth stalls from here, the valuation debate gets louder.
next report
follow-through after $3.74 in Q4 EPS
one strong quarter helps. another quarter like that would make the $15.60 full-year estimate easier to trust.
trend
institutional buying staying positive
195 buyers versus 132 sellers over the last three reported quarters is support. you want that bid to stay, not fade.
risk
whether hiring starts eating the margin
183 managing directors and eight new tech MDs can drive fees higher. they can also squeeze the 15.8% net margin if deal activity cools.
Analyst rankings
short-term outlook
average
momentum score 3. in human-speak, analysts do not see an obvious short-term edge either way.
risk profile
average
stability score 3. this sits in the middle of the pack — not a bunker stock, not a chaos stock.
chart momentum
average
technical score 3. the chart is not screaming anything unusual right now.
earnings predictability
55 / 100
55 out of 100 means estimates deserve a little skepticism. fee-heavy financials can look smooth until the pipeline slows.
source: institutional data
Institutional activity
institutions have been net buying for 3 consecutive quarters — 195 buyers vs. 132 sellers in 3q2025. total institutional holdings: 15.1M shares. net buying for 3 quarters.
source: institutional data
Price targets
3-5 year target range
$275
$591
$351
current price
$433
target midpoint · +23% from current · 3-5yr high: $591
Want the deeper analysis?
The full deep dive: dcf model, scenario analysis, competitive moat breakdown, and quarterly tracking — everything on this page, taken further.
see plans from $5/moThe deep dive