This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Five Financials That Benefit From Reform

Stocks in this article: C BAC EVR JEF HCBK SCHW ICE

Evercore Partners:

Evercore Partners (EVR) is one of the most successful of the so-called advisory boutiques, a group that includes several privately-held companies like Centerview Partners and Moelis & Company, as well as publicly-traded names like Greenhill & Co. (GHL) and Lazard (LAZ) (though Lazard, which has more than 2,000 employees, gets annoyed when you call them a boutique).

These firms are comprised of investment banking stars who often come from big Wall Street banks like Goldman and Morgan Stanley, but quit because they want to give advice to CEOs rather than sell them products. At least that's their sales pitch.

The pitch should work better than ever these days, as revelations about, say, how Washington Mutual's former CEO Kerry Killinger was afraid to hire Goldman because he thought the firm's traders might exploit sensitive information that would hurt the lender. Many of the financial reforms being contemplated in Washington would weaken the big investment banking firms, which can only help their smaller competitors.

Evercore may have a special leg up because its Chairman, Roger Altman, is one of Wall Street's most prominent Democrats. Corporate CEOs, many of whom are Republicans, may want to enlist a guy like Altman to help make their case in Washington with the party that is running the show.

Shares of Evercore are up 12% year-to-date, but first-quarter results this week came in slightly short of Wall Street's consensus view, held back by expenses related to acquisitions and expansion. President and CEO Ralph Schlosstein (pictured above) touted more the company's progress toward strategic objectives -- such as increasing advisory capabilities in different sectors -- than its actual performance. William Blair & Co., which reiterated its outperform rating on the stock following the report, agreed and it sees further appreciation from here.

"We believe the stock can trade closer to 20 times our 2011 estimate over the next 12 months as the improvements in the overall M&A environment gain a firmer footing, and we expect significant earnings growth in 2012 as well," William Blair said.

-- Written by Dan Freed in New York.

2 of 5

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs