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MC · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Moelis & Company (MC) stock moving?
Moelis reported Q3 2026 adjusted revenue of $425.6M, up 13% year over year, and adjusted EPS of $0.75, but revenue fell short of the roughly $437M consensus, and the stock sold off. Shares closed at $61.35 on Nov 4 and hit a low of $52.39 on Nov 6 on heavy volume of about 1.5M shares, roughly 40% above the recent norm. Since then the stock has stabilized, closing at $57.62 on Nov 9 and $56.97 on Nov 10 on fading volume of about 875K. Fundamentals remain solid: nine-month revenue is a record $1,154.7M, up 10%, the firm holds $658.7M in cash with no debt, it has returned $317.6M to shareholders including the dividend, and 13 managing directors have joined year to date with 11 more committed. Morgan Stanley kept its Overweight rating but cut its target to $73 from $77, still implying meaningful upside from the current price. Deal flow is visible in the Marathon Petroleum $4.2B divestiture, the Telarus and CorMedix mandates, and a reported Dave & Buster's debt advisory approach. Against this, Q3 margin compressed to 21.4% from 22.2%, and the revenue miss, together with the sharp reversal, shows that the market is sensitive to near-term execution.
News behind the analysis
- Morgan Stanley Adjusts Price Target for Moelis & CompanyMorgan Stanley maintained its Overweight rating on Moelis and lowered its price target from $77 to $73.
- Morgan Stanley Maintains Overweight on Moelis, Lowers Price Target to $73Morgan Stanley kept its Overweight call on Moelis after the third-quarter print but trimmed its target to $73 from $77.
- Moelis & Company LLC Advises CorMedix on Asset Purchase AgreementMoelis is the exclusive financial and financing advisor to CorMedix in its acquisition of substantially all assets of Heron Therapeutics.
- Moelis & Company Reports Third Quarter 2026 Financial Results and Declares DividendQ3 revenue rose 13% to $425.6M and adjusted EPS was $0.75, with record nine-month revenue of $1,154.7M, no debt, and a $0.65 quarterly dividend declared.
- CORRECTION: Moelis Q3 Adj. EPS $0.74 Beats $0.72 Estimate, Sales $425.577M Miss $437.106M EstimateBenzinga corrected its earlier EPS figure: Q3 EPS beat the $0.72 estimate while revenue of $425.6M missed the $437.1M estimate.
- Moelis Q3 Adj. EPS $0.67 Misses $0.72 Estimate, Sales $425.577M Miss $437.106M EstimateThe initial Benzinga report showed a $0.67 EPS miss and a revenue miss; the EPS figure was later corrected to a beat.
- Moelis Q3 2026 Earnings Call TranscriptTranscript of the third-quarter 2026 earnings call, where management discussed results and the firm's growth strategy.
- Moelis & Company Serves as Lead Financial Advisor to TelarusMoelis acted as lead financial advisor to Telarus on a strategic investment from Snowhawk Partners.
- Moelis & Company Advises Marathon Petroleum on $4.2 Billion DivestitureMoelis was strategic advisor to Marathon Petroleum on the sale of refining and midstream assets to CVR Energy for $4.2 billion.
About MOELIS & COMPANY
Moelis & Company is an independent investment bank founded in 2007 by Ken Moelis and based in New York. It doesn't lend money or trade securities. It sells advice on mergers, restructurings and capital raising, working through about 1,000 advisory bankers around the world.
How it makes money
Almost all of its revenue comes from advisory fees, most of them paid when a deal closes. In the first half of 2026, about two-thirds came from advising on mergers and acquisitions (M&A). The other third came from restructuring and debt advice, capital markets work and private capital advisory. First-half 2026 revenue was a record of roughly $730 million. Pay for its bankers is the biggest cost, at about two-thirds of revenue. The firm had no debt and pays a quarterly dividend of $0.65 per share.
What usually moves MC
- How many M&A deals get done worldwide, and how big they are
- Deals done by private equity firms (financial sponsors)
- Interest rates and credit conditions, which affect restructuring demand
- Hiring and keeping senior bankers, and what it costs to pay them
- Quarterly earnings and its pipeline of upcoming deals