PJT Partners Inc. (PJT)
Valuation Overview•Is PJT Partners Inc. Overvalued or Undervalued?
Priced at a premium to peer multiples and intrinsic cash flows, demanding strong execution to justify current levels.
High-quality fundamentals with a strong composite quality score of 79/100, backed by robust profitability and solvency.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Solid fundamental quality, though profitability presents a headwind.
Wall Street sentiment is generally neutral alongside robust expected earnings growth. This outlook is strongly supported by highly attractive capital returns, driven predominantly by aggressive share repurchases.
PJT demonstrates strong business quality with robust profitability and healthy margins (highlighted by a massive 20.3% ROIC). This is backed by a fortress balance sheet, holding significant net cash ($125M) and minimal debt risk.
The company maintains stable top-line performance paired with highly explosive earnings growth (23.9% EPS 3Y CAGR). The company maintains healthy operational efficiency with a 21.3% operating margin.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $418.2M | +14.8% | — | — | +15.5% | |
| EBITDA | $84.3M | — | +13.8% | — | — | |
| Net Income | $60.5M | +34.0% | +25.8% | — | +37.3% | |
| EPS (Diluted) | $2.21 | +35.8% | +23.9% | +8.7% | +32.2% | |
| Free Cash Flow | $56.0M | -8.9% | +26.2% | +0.8% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 32.7% | 31.2% | 32.7% | 30.1% |
| Operating Margin | 21.3% | 19.2% | 21.0% | 17.1% |
| Net Margin | 10.3% | 8.9% | 9.2% | 5.9% |
| FCF Margin | 34.0% | 33.8% | 27.3% | 27.1% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $1.51 | $1.54 | +2.0% | ||
| Q1'26 | $2.41 | $2.55 | +5.8% | ||
| Q4'25 | $1.24 | $1.85 | +49.2% | ||
| Q3'25 | $1.36 | $1.54 | +13.2% | ||
| Q2'25 | $0.94 | $1.05 | +11.7% | ||
| Q1'25 | $1.19 | $1.90 | +59.7% | ||
| Q4'24 | $0.74 | $0.93 | +25.7% | ||
| Q3'24 | $0.82 | $1.19 | +45.1% |
Total return is +1.3% (1Y), lagging the benchmark by -23.7%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | -8.0% | -17.3% | — |
| 1Y | +1.3% | -23.7% | +0.6% |
| 3YCAGR | +30.1% | +10.4% | +4.2% |
| 5YCAGR | +18.4% | +5.7% | +10.9% |
| 10YCAGR | +20.9% | +7.7% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about PJT Partners Inc. (PJT) valuation, health, and returns.
PJT Partners Inc. is estimated to be overvalued under our discounted cash flow framework. relative multiples indicate the stock is Slightly expensive versus peers compared to industry peers. overvalued (implying -19.6% downside from DCF intrinsic value of $125.05)
PJT Partners Inc. has multiple valuation anchors: DCF Intrinsic Value: $125.05 | Peer Relative Fair Value: $130.66 | Wall Street Analyst Target: $158.67 (implying +2.1% upside). A convergence of these signals offers higher conviction.
PJT Partners Inc. displays good financial health with a composite quality score of 79/100, supported by a Piotroski F-Score of 7/9, Return on Invested Capital (ROIC) of 20.3%.
PJT Partners Inc. pays a 0.6% dividend yield, covered by a 14% payout ratio with 0 years of growth, supplemented by a 5.2% buyback yield.
PJT Partners Inc.'s current growth trajectory is Decelerating. The company achieved +14.8% 1Y revenue growth and +35.8% 1Y EPS growth, compared to its 3Y revenue CAGR of N/A.
Wall Street consensus is Hold based on 12 analysts, beating EPS expectations in 100% of recent quarters with a 12-quarter streak. The consensus price target represents a +2.1% change from current levels.
Investment risks for PJT Partners Inc. include: -32.6% 1-year max drawdown. Volatility risk is characterized by a beta of 0.99x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.