Piper Sandler (62C) Q3 2026 Earnings Report

The call was predominantly positive, with record third-quarter corporate investment banking performance, record nine-month revenue, strong advisory and energy activity, private capital advisory momentum, fixed income growth, healthcare strength, and substantial shareholder returns. These positives were tempered by lower overall M&A and sponsor activity, weaker public finance and corporate financing conditions, selective equity markets, higher non-compensation expenses, and uncertainty around deal timing.

Management expects fourth-quarter advisory to be “our strongest quarter of the year, although below last year's record fourth quarter”; corporate financing activity to “slow in the fourth quarter” and be “lower than last year”; municipal financing revenues to “improve modestly from the third quarter”; equity brokerage revenues to “improve compared to the third quarter”; and fixed income revenues to be “consistent with the third quarter.” Sponsor activity is “improving pretty darn slowly,” with the current pitch calendar boding well “for sponsor activity in the first half,” while the depository business is expected to see “some increase” next year. Management also expects the “full-year non-compensation expense ratio to be higher than last year,” approved authorization to repurchase “up to $200 million” of common stock “through the end of 2028,” and approved a quarterly cash dividend of “$0.20 per share” payable on December 11 to shareholders of record as of November 24th.