Oppenheimer Holdings (OPY) AI Stock Analysis

• Market Cap: $612.09M
• Dividend Yield: 1.16%
• Average Volume (3M): 23.48K
• Price to Earnings (P/E): 9.3
• Beta (1Y): 1.07
• Revenue Growth: 14.34%
• EPS Growth: 141.78%
• Country: US
• Employees: 2,942
• Sector: Financial
• Sector Strength: 77
• Industry: Capital Markets
• EPS (TTM): 6.41
• Shares Outstanding: 10,425,575
• 10 Day Avg. Volume: 27,742
• 30 Day Avg. Volume: 23,475
• PEG Ratio: 0.07
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.58
• Price to Cash Flow (P/CF): 2.10
• P/FCF Ratio: 0.80
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Oppenheimer Holdings is positioned well with strong revenue growth and a stable balance sheet. However, profitability challenges and negative cash flow highlight areas for improvement. The technical indicators suggest mixed market sentiment, while the company’s valuation and positive corporate events offer potential upside. The leadership transition is anticipated to support ongoing growth and strategic direction.

Oppenheimer Holdings Business Overview & Revenue Model

Company Description

Oppenheimer Holdings Inc. (OPY) is a leading investment bank and full-service financial services firm headquartered in New York City. The company operates through a diverse range of segments, including investment banking, asset management, and private client services. Oppenheimer provides a broad array of financial services and solutions to individual investors, businesses, and institutions, offering expertise in equity and fixed income sales and trading, research, investment advisory, and wealth management.

How the Company Makes Money

Oppenheimer Holdings generates revenue through multiple channels, primarily rooted in its comprehensive financial services portfolio. The firm's investment banking division earns fees by advising clients on mergers and acquisitions, underwriting securities issuance, and providing strategic consulting. Its asset management segment collects management and performance fees from a range of investment funds and accounts. The private client services division, which serves individual investors, generates income through brokerage commissions, advisory fees, and financial planning services. Additionally, Oppenheimer benefits from proprietary trading and market-making activities, which contribute to its earnings. Strategic partnerships and a strong reputation in the financial sector further bolster the firm's revenue streams.

Oppenheimer Holdings Financial Statement Overview

Summary

Oppenheimer Holdings has demonstrated strong revenue growth and stable balance sheet metrics. However, challenges in profitability, as indicated by a low net profit margin and negative cash flow, highlight the need for improved operational efficiency.

Income Statement

Oppenheimer Holdings has demonstrated a strong revenue growth trajectory, with total revenue increasing from $1,248.8 million in 2023 to $1,432.5 million in 2024. The gross profit margin improved slightly, supporting profitability. However, the net profit margin remains relatively low at 5.0% in 2024, indicating room for improvement in cost management and efficiency. The company did not report EBIT, which limits a comprehensive analysis of operating efficiency.

Balance Sheet

The company's debt-to-equity ratio is moderately high at 0.81, suggesting a balanced approach to leveraging debt for growth. The return on equity (ROE) is 8.4%, reflecting modest profitability relative to shareholder investment. The equity ratio of 25.1% indicates a stable financial structure, although there is potential risk if liabilities grow significantly.

Cash Flow

Oppenheimer Holdings shows a negative free cash flow in 2024, with a significant decline from the previous year, highlighting challenges in generating cash from operations. The operating cash flow to net income ratio is negative, suggesting inefficiencies in converting income to cash. Despite these challenges, the company's investing and financing activities indicate strategic capital management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.43B	1.25B	1.11B	1.39B	1.20B
	Gross Profit
468.04M	441.50M	344.55M	484.89M	404.69M
	EBIT
0.00	0.00	34.99M	200.38M	151.39M
	EBITDA
231.03M	152.57M	69.40M	234.50M	184.68M
	Net Income Common Stockholders
71.56M	30.18M	32.35M	158.96M	122.99M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
33.15M	28.84M	112.43M	213.76M	35.42M
	Total Assets
3.38B	2.87B	2.71B	3.04B	2.71B
	Total Debt
687.59M	593.57M	794.24M	918.12M	1.01B
	Net Debt
654.44M	564.73M	681.80M	704.36M	970.74M
	Total Liabilities
2.53B	2.09B	1.89B	2.09B	2.03B
	Stockholders Equity
850.39M	789.17M	794.23M	823.20M	685.67M
Cash Flow		Free Cash Flow
-113.32M	-35.87M	48.18M	219.52M	-58.59M
	Operating Cash Flow
-108.17M	-18.81M	64.49M	227.79M	-54.06M
	Investing Cash Flow
-3.84M	-15.56M	-14.14M	-6.27M	-3.94M
	Financing Cash Flow
116.32M	-74.76M	-253.91M	84.58M	13.87M

Oppenheimer Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 58.71
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OPY, the sentiment is Negative. The current price of 58.71 is below the 20-day moving average (MA) of 63.71, below the 50-day MA of 65.72, and above the 200-day MA of 55.74, indicating a neutral trend. The MACD of -1.40 indicates Positive momentum. The RSI at 30.24 is Neutral, neither overbought nor oversold. The STOCH value of 6.94 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OPY.

Oppenheimer Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RJF	79 Outperform	$28.20B	14.00	19.07%	1.29%	13.79%	28.57%
MS	77 Outperform	$180.70B	14.06	13.16%	3.25%	9.17%	53.77%
EVR	73 Outperform	$7.44B	22.76	23.03%	1.55%	22.67%	47.20%
SF	71 Outperform	$9.51B	15.42	13.32%	1.74%	15.33%	46.64%
OPY	69 Neutral	$612.09M	9.33	8.73%	1.16%	14.34%	141.78%
PIPR	66 Neutral	$4.33B	24.84	15.66%	0.98%	12.29%	99.57%
Sector *	64 Neutral	$13.80B	10.64	9.23%	4.22%	17.66%	-7.66%

Oppenheimer Holdings Corporate Events

Oppenheimer Holdings Announces Leadership Transition in 2025

On February 27, 2025, Oppenheimer Holdings Inc. announced a significant leadership transition, with Albert G. Lowenthal stepping down as CEO, effective May 5, 2025, while continuing as Chairman and Executive Chairman of Opco. Robert S. Lowenthal, currently President and Head of Investment Banking, will succeed him as CEO and President. This transition marks a new phase for the company, which has seen substantial growth under Albert Lowenthal’s leadership, expanding from a $5 million revenue firm in 1985 to a global entity with $1.4 billion in revenue in 2024. The change is expected to continue the company’s trajectory of growth and innovation, leveraging Robert Lowenthal’s extensive experience in investment banking and strategic leadership.

Oppenheimer Holdings Reports Record 2024 Financial Results

On February 3, 2025, Oppenheimer Holdings Inc. released an investor presentation detailing their financial performance for the fourth quarter and full year of 2024. The company reported record revenues of $1.4 billion for the year, driven by increased advisory fees and investment banking revenues. Despite an increase in expenses, both compensation-related and non-compensation related, Oppenheimer achieved a net income of $71.6 million for 2024. The increase in revenue and income highlights Oppenheimer’s strong market positioning and effective management strategies, contributing to record levels of assets under management and positive shareholder equity developments.