Earnings results often indicate what direction a company will take in the months ahead. With Q4 behind us, let’s have a look at Interactive Brokers (NASDAQ: IBKR) and its peers.

Investment banks and brokerages facilitate capital raises, mergers and acquisitions, and securities trading. The sector benefits from corporate activity during economic expansion, increased retail trading participation, and advisory opportunities in emerging sectors. Headwinds include economic cycle vulnerability affecting deal flow, compressed trading commissions due to electronic platforms, and regulatory capital requirements constraining certain higher-risk activities.

The 16 investment banking & brokerage stocks we track reported a strong Q4. As a group, revenues beat analysts’ consensus estimates by 5.8% while next quarter’s revenue guidance was 3.9% below.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 10.7% since the latest earnings results.

Interactive Brokers (NASDAQ: IBKR)

Founded in 1977 and known for its sophisticated trading technology and global reach across 150+ exchanges in 34 countries, Interactive Brokers (NASDAQ: IBKR) is a global electronic broker that provides low-cost trading and investment services across stocks, options, futures, forex, bonds, and other financial instruments.

Interactive Brokers reported revenues of $1.67 billion, up 17.3% year on year. This print exceeded analysts’ expectations by 2.8%. Overall, it was a very strong quarter for the company with a solid beat of analysts’ EBITDA and EPS estimates.

The stock is down 4% since reporting and currently trades at $68.66.

Read why we think that Interactive Brokers is one of the best investment banking & brokerage stocks, our full report is free.

Best Q4: Moelis (NYSE: MC)

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.

Moelis reported revenues of $487.9 million, up 11.2% year on year, outperforming analysts’ expectations by 10%. The business had an incredible quarter with a beat of analysts’ EPS and revenue estimates.

Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 20% since reporting. It currently trades at $56.69.

Is now the time to buy Moelis? Access our full analysis of the earnings results here, it’s free.

Weakest Q4: Jefferies (NYSE: JEF)

Tracing its roots back to 1962 and rebranded from Leucadia National Corporation in 2018, Jefferies Financial Group (NYSE: JEF) is a global investment banking and capital markets firm that provides advisory services, securities trading, and asset management to corporations, institutions, and wealthy individuals.

Jefferies reported revenues of $2.02 billion, up 26.6% year on year, exceeding analysts’ expectations by 1.4%. Still, it was a softer quarter as it posted a significant miss of analysts’ EBITDA and EPS estimates.

Interestingly, the stock is up 4.3% since the results and currently trades at $41.35.

Read our full analysis of Jefferies’s results here.

Houlihan Lokey (NYSE: HLI)

Founded in 1972 and known for its expertise in complex financial situations, Houlihan Lokey (NYSE: HLI) is a global investment bank specializing in mergers and acquisitions, capital markets, financial restructurings, and valuation advisory services.

Houlihan Lokey reported revenues of $717.1 million, up 13% year on year. This print topped analysts’ expectations by 2.7%. Overall, it was a strong quarter as it also put up a solid beat of analysts’ EBITDA estimates and a decent beat of analysts’ revenue estimates.

The stock is down 21.9% since reporting and currently trades at $141.03.

Read our full, actionable report on Houlihan Lokey here, it’s free.

Piper Sandler (NYSE: PIPR)

Tracing its roots back to 1895 and rebranded from Piper Jaffray in 2020, Piper Sandler (NYSE: PIPR) is an investment bank that provides advisory services, capital raising, institutional brokerage, and research for corporations, governments, and institutional investors.

Piper Sandler reported revenues of $635 million, up 27.4% year on year. This number beat analysts’ expectations by 22.5%. It was an incredible quarter as it also recorded a beat of analysts’ EPS estimates and an impressive beat of analysts’ revenue estimates.

The stock is down 7.3% since reporting and currently trades at $76.86.

Read our full, actionable report on Piper Sandler here, it’s free.

Market Update

Late in 2025 into early 2026, there was hand wringing around artificial intelligence. For software companies, the fear was that AI would erode pricing power and compress margins as new tools made it easier to replicate what once required expensive enterprise platforms. Crypto investors had their own version of the same anxiety: if AI agents could trade, allocate capital, and manage wallets autonomously, what exactly was the long-term value of today’s crypto infrastructure?

These concerns triggered a noticeable rotation away from these sectors and into safer havens. But markets rarely dwell on one narrative for long. Spring 2026 came, and the focus shifted abruptly from technological disruption to geopolitical risk. The US’ conflict with Iran became the dominant driver of market psychology, and when geopolitics takes center stage, the script changes quickly. Investors stop debating growth rates and start worrying about oil supply, inflation, and global stability.

Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.