Lazard: Quality for the Long Haul, But Short-Term Woes Ahead

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However, despite its long-term potential for quality, Lazard ($NYSE:LAZ) is currently facing some short-term issues that need to be addressed. The most immediate challenge the company faces is the drop in revenue in its financial advisory business due to the global pandemic.

Additionally, Lazard has been under pressure from activist investors, who have criticized its leadership and management style for being too conservative. However, despite these short-term issues, Lazard still has many advantages that give it long-term potential for quality. The company has a diversified portfolio of businesses, with its asset management business being particularly strong. It also boasts a long history of success and has developed strong relationships with many of the world’s leading corporations and institutions. Overall, Lazard has long-term potential for quality, yet there are short-term issues to contend with. The company needs to address these issues in order to remain competitive and maximize its potential for success in the future.

Share Price

Lazard Ltd (LAZ) has seen a decline in stock prices on Tuesday, with the stock opening at $30.9 and closing at the same price, representing a 0.7% drop from its prior closing price of $31.1. Although investors may take this as a sign of short-term difficulty, the company has made a name for itself as a quality investment for the long haul. Lazard has consistently been named one of the world’s leading financial advisory and asset management firms, with the expertise and trustworthiness to lead its clients through the turbulent waters of the financial sector. The company offers services ranging from corporate mergers and acquisitions to financial restructuring and asset management services, giving it a wide range of capabilities to suit any client’s needs. Furthermore, the company’s reputation has been further solidified through its commitment to sustainability and corporate responsibility.

The company has invested heavily in renewable energy initiatives, carbon reduction strategies, and clean energy technologies to reduce its environmental impact. These measures have earned Lazard numerous awards and recognition from leading industry groups. Though many are concerned about the company’s short-term outlook, the long-term benefits of investing in Lazard Ltd are clear. With the quality of its services and its focus on sustainability, investors can rest assured that their money is in good hands. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Lazard Ltd. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Lazard Ltd. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Lazard Ltd. More…

Key Ratios Snapshot

Some of the financial key ratios for Lazard Ltd are shown below. More…

Analysis

GoodWhale has conducted an analysis of LAZARD LTD’s well-being, and based on its Star Chart classification of ‘cow’, we conclude that the company has a track record of paying out consistent and sustainable dividends. Investors interested in such a company are likely those seeking steady and reliable returns on their investments. LAZARD LTD has a high health score of 8/10 in terms of its cashflows and debt, indicating its capability to pay off debt and fund future operations. Furthermore, the company is strong in dividend and profitability, while relatively weaker in asset and growth. Therefore, investors seeking to diversify their risk profile may find LAZARD LTD attractive. More…

Peers

The company operates in two segments: Financial Advisory and Asset Management. The Financial Advisory segment provides financial advice on mergers and acquisitions, restructurings, capital raising, and other strategic matters. The Asset Management segment offers investment management, research, and investment advisory services to institutional and individual clients. Lazard Ltd competes with Rothschild & Co SCA, Asia-Pac Financial Investment Co Ltd, and Advenis SA in the financial advisory and asset management industries.

– Rothschild & Co SCA ($LTS:0FPB)

Rothschild & Co SCA is a French multinational investment bank and financial services company founded in 1811. The company is headquartered in Paris and has offices in 40 countries across Europe, the Americas, Asia, Africa, and the Middle East. Rothschild & Co SCA provides a wide range of services, including mergers and acquisitions, strategic advisory, capital markets, private equity, asset management, and wealth management. The company has a market cap of 2.54B as of 2022 and a Return on Equity of 20.39%.

– Asia-Pac Financial Investment Co Ltd ($SEHK:08193)

Asia-Pac Financial Investment Co Ltd is a company that operates in the financial sector. It has a market cap of 62.96M as of 2022 and a Return on Equity of -28.99%. The company offers a range of financial services, including investment banking, asset management, and insurance.

Summary

Lazard Ltd (LAZ) is an asset management and financial advisory firm. It offers a range of services including advising on mergers and acquisitions, restructuring, capital markets, mutual funds, private equity, and real estate. Investment analysis on LAZ has identified long-term quality but near term problems. Despite these issues, LAZ has a strong balance sheet with low debt levels and still generates significant returns on equity.

Its long-term performance history is positive with an average return of 10% over the past five years. Investors should continue to monitor the company’s progress and financial performance closely.