Investment banking firm Moelis & Company (NYSE: MC) missed Wall Street’s revenue expectations in Q3 CY2025, but sales rose 27.1% year on year to $356.9 million. Its non-GAAP profit of $0.68 per share was 14% above analysts’ consensus estimates.
Is now the time to buy Moelis? Find out by accessing our full research report, it’s free for active Edge members.
Moelis (MC) Q3 CY2025 Highlights:
- Revenue: $356.9 million vs analyst estimates of $388.3 million (27.1% year-on-year growth, 8.1% miss)
- Pre-tax Profit: $82.31 million (23.1% margin, 209% year-on-year growth)
- Adjusted EPS: $0.68 vs analyst estimates of $0.60 (14% beat)
- Market Capitalization: $5.29 billion
Company Overview
Founded in 2007 by veteran banker Ken Moelis during the lead-up to the financial crisis, Moelis & Company (NYSE: MC) is an independent investment bank that provides strategic and financial advisory services to corporations, financial sponsors, governments, and sovereign wealth funds.
Revenue Growth
Examining a company’s long-term performance can provide clues about its quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Luckily, Moelis’s revenue grew at an impressive 14.5% compounded annual growth rate over the last five years. Its growth surpassed the average financials company and shows its offerings resonate with customers, a great starting point for our analysis.
We at StockStory place the most emphasis on long-term growth, but within financials, a half-decade historical view may miss recent interest rate changes, market returns, and industry trends. Moelis’s annualized revenue growth of 31.6% over the last two years is above its five-year trend, suggesting its demand was strong and recently accelerated. 
Note: Quarters not shown were determined to be outliers, impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business.
This quarter, Moelis generated an excellent 27.1% year-on-year revenue growth rate, but its $356.9 million of revenue fell short of Wall Street’s high expectations.
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Key Takeaways from Moelis’s Q3 Results
It was good to see Moelis beat analysts’ EPS expectations this quarter. On the other hand, its revenue missed. Overall, this was a weaker quarter. The stock traded down 3.1% to $64.75 immediately after reporting.
Moelis underperformed this quarter, but does that create an opportunity to invest right now? What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it’s free for active Edge members.
