Kenneth Jacobs - Blog Posts
Lazard hits a 52 week high
by Zacks Equity Research
November 19, 2013
Shares of Lazard Ltd. reached a new 52-week high, touching $41.66 at the second half of the trading session on Nov 18. However, the stock closed the session at $41.26, which reflects a solid year-to-date return of 34.7%.The trading volume for the session was 0.5 million shares. Despite the strong price appreciation, this Zacks Rank #3 (Hold) stock has plenty of upside left, given its strong estimate revisions over the last 30 days and expected long-term earnings growth of 12.0%. Growth Drivers Impressive third-quarter 2013 results comprising a positive earnings surprise of 31.64%, top-line growth, a strong capital position and higher assets under management (AUM) were the primary driving factors for Lazard. On Oct 24, Lazard reported third-quarter 2013 adjusted earnings of 46 cents per share, outpacing the Zacks Consensus Estimate of 35 cents. Moreover, this compared favorably with 26 cents earned in the prior-year quarter. On a year-over-year basis, Lazard experienced 10.0% rise in both revenues and AUM, which acted as positives for the quarter. AUM growth resulted from market appreciation and rise in net inflows. Additionally, the company’s capital ratios depict its strong position. However, a 4.3% increase in expenses was the headwind for the quarter. Further, Lazard has delivered positive earnings surprises in 3 out of the last 4 quarters with an average beat of 35.95%. Estimate Revisions Show Potency Over the last 30 days, 3 out of 7 estimates for 2013 have been revised upward, lifting the Zacks Consensus Estimate by 4.7% to $1.77 per share. For 2014, 4 out of 7 estimates moved north, helping the Zacks Consensus Estimate advance 6.1% to $2.44 per share.
How to build value in the drug business: This is a great video from Forbes, This year's two biggest pharma takeouts were Onyx Pharmaceuticals, purchased by Amgen for $10 BIllion, and Bausch + Lomb, a turnaround story sold to Valeant for $8.7 billion. The CEOs from both companies talk about how to revitalize a pharmaceutical firm. The discussion is moderated by Lazard's Kenneth Jacobs.
Lazard Earnings Rise 75%
Kenneth M. Jacobs, Lazard CEO
Earnings have risen 75% on deals and cost cutting. The firm reported it earned $62 million in adjusted profit for the quarter. This amounts to 46 cents a share. They reported a 10% rise in operational revenue to $489 million.
Dealbook also reported Lazard had increased in profits last quarter as well.
So the world is still moving despite everyone in the United States being pissed off at our politicians. For the last couple weeks we have been following KKR’s spending spree in Asia. KKR has been investing substantially in Asian markets, from China to Japan and now Indonesia. They have been...
Goldman Sachs Upgrades Lazard Ltd to a "Conviction Buy"
We talked about Lazard (not to be confused with Lazard Capital Markets) a couple weeks ago after they released a Levelized Cost of Energy Analysis. If you did not read that article Lazard is a global financial advisory firm founded in 1848. They operate all over the world and specializes in giving advice on mergers and acquisitions, strategic matter as well as restructuring and capital structure. Goldman Sachs on Monday upgraded Lazard to "Conviction Buy" from "Neutral." They also raised their price target to $45 from the previous $37. In a statement Goldman Sachs analyst Alexander Blostein said, “We believe the Street underestimates LAZ’s margin improvement opportunity in 2014 given strengthening revenue backdrop in both the Advisory and Asset Mgmt. businesses, and cost cut realization... “With modest revenue growth assumptions, we believe LAZ should achieve its 25% operating margin target, leaving us about 10% above consensus for the next two years. Furthermore, in our view, the firm’s significant cash flow generation (13% FCF yield) creates opportunities for corporate debt reduction starting in 2015, as well as dividend growth over time. Longer-term, we believe LAZ provides the most upside potential to an improving global M&A cycle mainly due to its European presence – currently the largest drag on M&A volumes.” For more information on Lazard's successes, the New York Times released an article here
http://aclassasset.blogspot.com/2013/10/goldman-sachs-upgrades-lazard-ltd-to.html
Royal Mail to go public (advised by Lazard
The British package service Royal mail was available to private investors last week, they are being advised through this process by Lazard Ltd. (NYSE: LAZ). Lazard is a financial advisory founded in 1848 with noted leaders like CEO Kenneth Jacobs. Seeing a wave of investors jumping on a chance to invest, placing orders for far more shares than being offered. They are making their full public offering on October 11th, individuals interested in investing can apply for shared but the offer is expected to close on October 8th. Positives for investing Royal Mail is well placed for growth from online shopping. Leading provider of postal services in the UK Royal mail has been restructuring to be more efficient since 2008 Negatives of investing Letter volume continues to decline as digital press increases. Disputes with trade union could disrupt national distribution Performance is effected by macroeconomic trends Has an aging IT infrastructure.
http://aclassasset.blogspot.com/2013/10/royal-mail-goes-public-as-advised-by.html
A blog about Finance and Private Equity. This blog will give weekly updates on stocks and follow the news on large equity firms.
check out this blog
In an exclusive CNBC interview, Kenneth Jacobs, Lazard, chairman & CEO discusses the financial crisis, the global economy and CEO confidence. Jacobs says, "CEO confidence is a factor of the real economy." CNBC's Kayla Tausche reports.
Lazard CEO Kenneth Jacobs is interviewed on European Debt Crisis
Kenneth Jacobs, chief executive officer of Lazard Ltd., talks about the global economy, the European debt crisis and banking regulations. He speaks on Bloomberg Television's "Conversations With Judy Woodruff,"
Improving College Outcomes
Hamilton Project released three new policy proposals by outside experts on how to changes in student lending and financial-aid policies can help improve college outcomes. The findings from the paper are here.
The Brookings institute is a nonprofit public policy organization based in Washington D.C. Their mission is to conduct high-quality independent research to provide practical recommendations that advance three goals:
1. Strengthen American Democracy
2. Foster economic and social welfare
3. Secure a more open, safe and prosperous international system
The institute has notable leadership such as president Strobe Talbott and board members like Lazard CEO Kenneth Jacobs.
Kenneth Jacobs awarded Simon Wiesenthal Center's Humanitarian Award
The most successful Simon Wiesetnthal Award dinner ever, the dinner raised $1.6 million.
The Wiesenthal Center is “a living memorial to the memory of a great man — Simon Wiesenthal — who died eight years ago at the age of 96, sixty years after his liberation,” New York State Governor, Andrew Cuomo said: “Now some will say that the Center’s mission is complete.” Apropos the emergence of anti-Semitism worldwide, Cuomo cited incidents in France when “last month a group of Jews were attacked by a gang of teenagers…in Spain two months ago…’Adolf Hitler was right’ was painted across a bullfight arena…. It is very much a real threat in the world we live in…. So Simon Wiesenthal was right and you are right to be here this evening. We need a strong Israel and we need a strong America…working hand-in-glove because they are the bulwarks for democracy on this globe.” At the dinner Kenneth Jacobs, Lazard Ldt.'s Chairman and CEO was awarded the Centers Humanitarian Award.
Lazard sends George Bilicic to Chicago to reinvigorate the office.
George Bilicic new lead Lazard Ltd. investment banker in ChicagoTwo senior bankers on the deal-making side of Lazard Ltd.'s advisory business have exited the Chicago office earlier this year. In response Lazard has send George Bilicic Jr. to take control and reinvigorate the company office in Chicago. This is Mr. Bilicic second stint working with the Chicago office. He first started supervising the office remotely in 2006. When asked about his previous experience Mr. Bilicic said, "The chief lesson learned from that was that you couldn't be a suitcase banker and be successful with companies in the Midwest." In this round of work Mr. Bilicic is moving to the windy city with his family. He has never lived in Chicago before and plans to expand business by becoming active in city business as well as the civic scene, joining organization boards in the city and having his bankers to the same.
While Bilicic has not stated any specific boards or charities he plans to participate in his direct superior, Lazard CEO Kenneth Jacobs is a member of the board of trustees for the University of Chicago. Lazard is a midsize international financial advisory and faces competition from Larger entities such as Goldman Sachs Group Inc. The company has about 2,400 employees world wide and aims to cut around 250 this year while expanding growth. Lazard earning nearly doubled in the second quarter with $59.9 million. This is in part due to its jump in deals in its consumer, health care services and technology areas.
http://assetsandmanagement.blogspot.com/2013/10/lazard-sends-george-bilicic-to-chicago.html
Lazard released this great analysis, their CEO is Kenneth Jacobs
Analysis: 50% Reduction In Cost Of Renewable Energy Since 2008
by Silvio Marcacci – Special to JBS News
That renewable energy is becoming more cost-competitive…
View Post
Fiat to buy the rest of Chrysler
Fiat is again moving in on Chrysler. In 2009 they took over a large percentage of the company and are now trying to take over the remaining 41.5%. This remainder is currently held by UAW health. The two companies have been in conversation over the sale but have been unable to agree on a price, they have a discrepancy of around $2 million.
The recently hired Lazard Ldt (NYSE: LAZ) vice chairman Ron Bloom to help with the buyout. Other notable leadership at Lazard include chairman and CEO Kenneth Jacobs. Ron Bloom is also currently representing the retirees in their case against Detroit's filing for bankruptcy.