Author Topic: JEF - Jefferies Group  (Read 589979 times)

Spekulatius

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Re: JEF - Jefferies Group
« Reply #1510 on: October 14, 2018, 07:19:40 AM »
Most IB's havent done much lately, and JEF has historically been a value trap IMHO.  With that said - at a 5 year low, you now have me interested!

Its mildly interesting, but also note that GS trades at 1.1x book and is a far better business. also note that GS has a huge wealth management business that would be worth a much higher multiple stand alone. JEF does not have a wealth management business, its a second grade investment bank.
To be a realist, one has to believe in miracles.


greenwave

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Re: JEF - Jefferies Group
« Reply #1511 on: January 10, 2019, 08:39:22 PM »
Jeff reported today after market close results through November 30 ,2018 .

"Fully diluted tangible equity per share increased by 22% from $20.48 at the beginning of the fiscal year to
$24.90 at November 30.2018 "

greenwave

greenwave

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Re: JEF - Jefferies Group
« Reply #1512 on: February 04, 2019, 12:59:44 PM »

-- Interview commentary by a longer term noted institutional investor in Jef / Luk

You're a fan of Jefferies Financial Group ( JEF ) [JEF], the former Leucadia. Why?

Jefferies operates a strong broker-dealer and a successful merchant bank. A common variable of a lot of what we own is the good quality of a business -- even if it's a turnaround -- combined with good operators. All the better if they're owner-operators who have their money invested alongside ours. Jefferies had success creating value through timely investments in the merchant bank and opportunistically repurchasing their shares at a sizable discount to net asset value.

This company met earnings expectations last year. They enhanced net asset value by reducing their majority stake in National Beef. Jefferies aggressively repurchased 13% of its shares in 2018, and, despite that, the stock price declined 35%.

It now trades at less than 80% of its tangible book value, and at about a 30% to 35% discount to our conservative low-$30s assessment of net asset value.

Is CEO Rich Handler taking it private?

He has a long way to go, but he recently wrote about the stock price being out of sync, and said "it was as if we were getting the call from our own company about a compelling new investment opportunity." In 2018, Jefferies was their single largest investment. He said the investment story "is becoming more focused and straightforward," meaning he's cleaning up some of the merchant banking stakes, including the National Beef stake.



arcticfox

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Re: JEF - Jefferies Group
« Reply #1513 on: March 26, 2019, 05:45:59 PM »
Is anyone headed to the Jefferies annual meeting this week? If so anything anyone learns or shares it would be greatly appreciated.

Not sure if it will be short or long but given the stock price I would expect a few questions.

Scunny Bunny

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Re: JEF - Jefferies Group
« Reply #1514 on: June 08, 2019, 04:22:36 AM »
Jefferies poached about 30 folks from CLSA in Australia to start new insto broking firm.  Hasn't been a new one in over 15 years. Because they lose money in a really competitive market. Suspect another hopeless ego-effort from Handler & Friedmann. Spending money when the shares are at decent discount to most NAV type assessments. Long and so disappointed.

petec

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Re: JEF - Jefferies Group
« Reply #1515 on: June 09, 2019, 10:50:33 AM »
Jefferies poached about 30 folks from CLSA in Australia to start new insto broking firm.  Hasn't been a new one in over 15 years. Because they lose money in a really competitive market. Suspect another hopeless ego-effort from Handler & Friedmann. Spending money when the shares are at decent discount to most NAV type assessments. Long and so disappointed.

Then why not sell?

Scunny Bunny

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Re: JEF - Jefferies Group
« Reply #1516 on: June 09, 2019, 11:36:09 PM »
Jefferies poached about 30 folks from CLSA in Australia to start new insto broking firm.  Hasn't been a new one in over 15 years. Because they lose money in a really competitive market. Suspect another hopeless ego-effort from Handler & Friedmann. Spending money when the shares are at decent discount to most NAV type assessments. Long and so disappointed.

Then why not sell?
I am hoping given the value disconnect that there will be enough aggression from other investors to make the management see sense.  I don't see it as a vlaure trap - yet. Hence, don't feel like leaving my $1 on the table for ~$0.60-$0.70 just yet.

ukvalueinvestment

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Re: JEF - Jefferies Group
« Reply #1517 on: June 10, 2019, 01:55:06 AM »
What would "seeing sense" represent? 

Increasing the buyback, selling portfolio companies?

How much is this CLSA move costing and is it actually material to the overall group?  Seems to me that Jefferies have always been opportunistic growers and this may be a limited downside move for them...

I think the big worry here is what happens if there is a US recession and blow up in the leveraged loans space.  I haven't looked into it but suspect that would cause some real value destruction ... ?
@ukvalueinv

Spekulatius

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Re: JEF - Jefferies Group
« Reply #1518 on: June 10, 2019, 03:57:25 AM »
Just buy GS, if you want to have a stake in an investment bank. Better  ROI and trading below tangible book. Why bother with these also rund that arnt even close to earning their cost of capital in a great economic environment? What do you think will happen, if the economy turns down?
To be a realist, one has to believe in miracles.

petec

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Re: JEF - Jefferies Group
« Reply #1519 on: June 10, 2019, 01:29:12 PM »
What would "seeing sense" represent? 

Increasing the buyback, selling portfolio companies?


Ha ha, quite.