Cohen & Company Q2 revenue rises on investment banking, trading strength

Overview

• US capital markets firm's Q2 revenue rose yr/yr, driven by investment banking and trading gains

• Adjusted EPS for Q2 increased to $1.62 from $0.94 a year earlier

• Company declared quarterly dividend of $0.25 per share

Outlook

• Company did not provide specific guidance for future quarters or the full year in the press release

Result Drivers

• INVESTMENT BANKING GAINS - Co said Q2 revenue growth was mainly driven by higher investment banking and new issue revenue, with CCM generating substantially all of this segment's revenue

• TRADING DESK PERFORMANCE - Co attributed increased net trading revenue to higher activity in mortgage group, SPAC equity and structured notes trading desks

• SPAC MILESTONES - Co said recent milestones in sponsored SPACs, including business combination agreements and IPOs, contributed to investment banking revenue

Company press release: ID:nGNX9cmrz3

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "buy"

• The average consensus recommendation for the financial commodity market operators service providers peer group is "hold."

• Wall Street's median 12-month price target for Cohen Company Inc is $20.00, about 50.9% above its July 31 closing price of $13.25

Reuters Recommended Reads

• July 31 - Oppenheimer Holdings Q2 profit rises on investment banking strength; posts record AUM

• July 31 - Franklin Templeton's quarterly profit rises on strong inflows, higher fees

• July 31 - Eric Trump-backed defense technology company Space-Eyes to go public in $638 million SPAC deal

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)