Key Drivers
- High ROE
- Elevated debt
- Thin operating margin
AIAI Summary
Lazard's repositioning toward a hybrid model — growing recurring, higher-fee Asset Management AUM while sustaining high-margin advisory — materially de-risks the business long-term, but near-term earnings and valuation remain highly sensitive to deal-flow, one-off associate losses, and elevated leverage. Monitor sequential net inflows into higher-fee AM products, quarterly advisory revenue conversion, and absence of further equity-method impairments as the specific triggers that would validate upside (or their failure would likely force rapid multiple compression).
Price Chart
Financial Metrics
Deep Analysis
Research tool. Not personalized advice.
Fundamental Analysis
Key Financial Insights:
- •High ROE
- •Elevated debt
- •Thin operating margin
LAZ generates strong ROE and cash flow (FCF ~$487M, FCF/sh ~$5) and a 4% dividend but carries elevated leverage, high operating expenses that compress margins, and sizable associate/intangible charges that cloud recurring earnings.
Price Behavior
Key Price Behavior Insights:
- •Sharp monthly decline
- •Resistance flip $50–53
- •Elevated volatility
Over the last month the stock plunged ~23.5% from $51.33 to $39.25, breaking the $50–$53 multi-touch band into resistance and testing new multi-week lows near $39 amid elevated volatility that favors further downside unless it reclaims $50.
Rapid ~23.5% drop to new multi-week lows with increased multi-day volatility
Sentiment & News
Key News Insights:
- •Net inflows
- •Market appreciation
- •Edgewater sale
Lazard's AUM rose to about $277.7B (+~4% in February) driven by $4.2B net inflows and $8.9B market gains, partly offset by FX, a $1.5B Edgewater stake sale, a fund distribution and a CEO share sale.
Net inflows and market gains are a modest positive for Lazard's revenue outlook, though the stake sale, distribution and insider selling temper near‑term sentiment
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