Moelis & Co., the merger-advisory firm that went public last year, declined the most since February after first-quarter profit missed analysts’ estimates.
Moelis dropped $2.14, or 7.3 percent, to $27.32 at 9:58 a.m. Thursday in New York, extending its fall for the year to 22 percent.
Operating profit was 28 cents a share, missing by 6 cents the average estimate of nine analysts surveyed by Bloomberg, the New York-based company said Wednesday after markets closed. Revenue dropped 13 percent.
“The lower revenue was blamed on a weaker restructuring market, fewer large-sized fees, and an extended deal time frame for transactions requiring financing,” Joel Jeffrey, an analyst at Keefe Bruyette & Woods, said in a note to investors.“ Management believes that the current low interest rate environment will last longer than most currently anticipate, which will continue to weigh on restructuring opportunities.”