• In recent years, Jefferies Financial Group has grown its investment banking market share without materially increasing balance sheet risk, while also benefiting from solid trading and asset management operations amid higher interest rates and tariff policy uncertainties.

• A key angle is how Jefferies’ joint ventures and partnerships are enhancing its revenue mix and supporting business performance despite a challenging macro backdrop.

• We’ll now examine how Jefferies’ growing investment banking franchise supported by collaborations may influence the company’s broader investment narrative.

Rare earth metals are an input to most high-tech devices, military and defence systems and electric vehicles. The global race is on to secure supply of these critical minerals. Beat the pack to uncover the 36 best rare earth metal stocks of the very few that mine this essential strategic resource.

To own Jefferies today, you have to believe that a steadily expanding investment banking franchise, supported by trading, asset management and collaborations, can compound value even without outsized balance sheet risk. The recent update on market share gains, helped by alliances like the SMFG/SMBC partnership, reinforces the near term catalyst of stronger advisory and capital markets fees, but it probably does not overturn the existing picture of modest forecast revenue and earnings growth. With the share price still sitting below consensus targets yet above some intrinsic value estimates, the bigger swing factors remain deal volumes, trading activity and how efficiently Jefferies converts its capital into returns, given its currently low ROE and fully valued earnings multiple. Dividend stability adds support, but does not remove these execution risks.

However, investors should be aware of Jefferies’ low returns on equity and tight dividend coverage. Jefferies Financial Group’s shares are on the way up, but they could be overextended by 22%. Uncover the fair value now.

Six Simply Wall St Community fair value views span roughly US$38 to US$70 per share, underlining how far apart private investors can be. Set against Jefferies’ modest growth outlook and balance sheet discipline, that spread points to very different assumptions about how durable its investment banking and partnership driven momentum will be.

Explore 6 other fair value estimates on Jefferies Financial Group – why the stock might be worth as much as 14% more than the current price!

Disagree with this assessment? Create your own narrative in under 3 minutes – extraordinary investment returns rarely come from following the herd.