Jefferies Financial Group Inc (JEF)vsMorgan Stanley (MS)
JEF
Jefferies Financial Group Inc
$39.64
-2.24%
FINANCIAL SERVICES · Cap: $8.38B
MS
Morgan Stanley
$165.65
-0.13%
FINANCIAL SERVICES · Cap: $263.03B
Smart Verdict
WallStSmart Research — data-driven comparison
Morgan Stanley generates 857% more annual revenue ($70.30B vs $7.34B). MS leads profitability with a 24.0% profit margin vs 9.7%. JEF appears more attractively valued with a PEG of 1.15. MS earns a higher WallStSmart Score of 76/100 (B+).
JEF
Buy57
out of 100
Grade: C
MS
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-197.6%
Fair Value
$19.38
Current Price
$39.64
$20.26 premium
Margin of Safety
+59.3%
Fair Value
$407.18
Current Price
$165.65
$241.53 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Attractively priced relative to earnings
Generating 1.9B in free cash flow
Mega-cap, among the largest globally
Strong operational efficiency at 38.6%
Keeps 24 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 20.7% YoY
Areas to Watch
ROE of 6.6% — below average capital efficiency
Earnings declined 9.3%
Distress zone — elevated risk
Expensive relative to growth rate
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : JEF
The strongest argument for JEF centers on Price/Book, P/E Ratio, Free Cash Flow. PEG of 1.15 suggests the stock is reasonably priced for its growth.
Bull Case : MS
The strongest argument for MS centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 24.0% and operating margin at 38.6%. Revenue growth of 11.0% demonstrates continued momentum.
Bear Case : JEF
The primary concerns for JEF are Return on Equity, EPS Growth, Altman Z-Score.
Bear Case : MS
The primary concerns for MS are PEG Ratio, Piotroski F-Score, Free Cash Flow.
Key Dynamics to Monitor
JEF profiles as a value stock while MS is a mature play — different risk/reward profiles.
JEF carries more volatility with a beta of 1.50 — expect wider price swings.
MS is growing revenue faster at 11.0% — sustainability is the question.
JEF generates stronger free cash flow (1.9B), providing more financial flexibility.
Bottom Line
MS scores higher overall (76/100 vs 57/100), backed by strong 24.0% margins and 11.0% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Jefferies Financial Group Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Jefferies Financial Group Inc. is engaged in investment banking and capital markets, asset management, and direct investment businesses in the Americas, Europe, the Middle East, Africa, and Asia. The company is headquartered in New York, New York.
Morgan Stanley
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Morgan Stanley is an American multinational investment bank and financial services company headquartered at 1585 Broadway in the Morgan Stanley Building, Midtown Manhattan, New York City.
Compare with Other CAPITAL MARKETS Stocks
Want to dig deeper into these stocks?