Why Jefferies Financial Group Inc. (JEF) Went Down On Thursday?

We recently published a list of 10 Firms Mirror Wall Street Slump on Thursday. In this article, we are going to take a look at where Jefferies Financial Group Inc. (NYSE:JEF) stands against other firms that mirrored Wall Street slump on Thursday.

Wall Street’s shares traded lower anew on Thursday, as investor sentiment continued to be dampened by President Donald Trump’s fresh tariffs on US imports.

The tech-heavy Nasdaq fell the heaviest, down 0.53 percent, followed by the Dow Jones at 0.37 percent, and the S&P 500 at 0.33 percent.

The market decline was mainly weighed down by the performance of car manufacturers after Trump announced a 25-percent tariff on all vehicles imported beginning April 2.

Ten companies mirrored the broader market decline. In this article, we listed Thursday’s 10 worst performers and detailed the reasons behind their drop.

To come up with the list, we considered only the stocks with a $2-billion market capitalization and $5 million in trading volume.

A financial advisor shaking hands with a client, representing the wealth management services of the company.

Jefferies Financial Group Inc. (NYSE:JEF)

Jefferies Financial declined by 9.85 percent on Thursday to finish at $54.35 each, following a dismal earnings performance that was attributed to increasingly more challenging capital markets.

In its latest earnings release, JEF said net income attributable to shareholders dropped by 14.6 percent in the first quarter of the year at $127.79 million from $149.64 million in the same period a year earlier, as revenues dropped 8.6 percent to $1.59 billion from $1.74 billion.

“The capital markets have become increasingly more challenging due to the uncertainties that have arisen around US policy and geopolitical events,” said JEF President and CEO Richard Handler.

“We remain very confident about our strategy, our team, and our long-term growth opportunities across our global businesses and we will navigate this period of uncertainty the way we always do, by focusing on our clients and helping them address their challenges and opportunities, while watching our risk, maintaining record liquidity and striving to gain market share across our firm,” he added.

Overall, JEF ranks 5th on our list of firms that mirrored Wall Street slump on Thursday. While we acknowledge the potential of JEF as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as JEF but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.