NEW YORK - Siebert Financial Corp. (NASDAQ: SIEB), a longstanding player in the financial services industry, has announced its acquisition of Gebbia Entertainment LLC, marking a significant step into the entertainment and media sectors. The acquisition, which includes a business partnership with GAMMA Media and L.A. Reid LLC, will also see the financial services firm securing rights to The Siemens, an emerging musical talent managed by Akon.
The Siemens, a trio of sisters from Los Angeles, are expected to benefit from the combined expertise of Akon, a respected figure in the music industry and philanthropist, and Nick Jarjour, a music executive with a track record of nurturing top musical talents. Their first album is anticipated to gain from the industry insights and connections of music tycoon L.A. Reid.
David Gebbia, a prominent figure at Siebert, expressed enthusiasm about the unique fusion of entertainment with financial services, which is seen as a move to innovate and capture both traditional and non-traditional audiences. The collaboration is intended to leverage Siebert's financial heritage to explore new opportunities in the entertainment field.
Joining the leadership team is Kaj Larsen, an Oscar-nominated producer with a history of producing content for major platforms such as CNN, Netflix (NASDAQ:NFLX), and Amazon (NASDAQ:AMZN). Larsen's role will involve developing content that merges finance with entertainment, aiming to reach a broad audience base.
Siebert Financial has been a pioneer in the discount brokerage industry since 1967 and is one of the longest-standing firms on the New York Stock Exchange. With over $17 billion in assets, the company offers a wide range of financial services and is committed to serving diverse communities, including specialized programs for various professional sectors.
The information in this article is based on a press release.
In other recent news, Siebert Financial Corp. has made a significant change in its independent registered public accounting firm. The company has recently appointed Crowe LLP as its new auditor for the fiscal year ending December 31, 2024. This decision was approved by the audit committee of Siebert Financial's board of directors. This transition follows the resignation of the former auditor, Baker Tilly US, LLP, a fact previously reported in a Form 8-K filed earlier this year.
Siebert Financial has stated that there were no disagreements or reportable events during the fiscal years ended December 31, 2023, and 2022, that would have prompted consultation with Crowe regarding accounting or auditing matters.
These are among the recent developments in the company.
InvestingPro Insights
In the midst of Siebert Financial Corp.'s strategic expansion into the entertainment sector, the company's stock performance and financial health remain key considerations for investors. According to InvestingPro data, Siebert Financial currently has a market capitalization of $58.62 million and is trading at a low earnings multiple with a P/E ratio of just 6.92, reflecting a potential undervaluation relative to earnings. The adjusted P/E ratio over the last twelve months as of Q1 2024 is even lower at 4.06, which may indicate an attractive entry point for value investors.
Despite the company's foray into new business avenues, Siebert Financial has experienced some challenges in the stock market. An InvestingPro Tip highlights that the stock has taken a significant hit over the last week with a price total return of -16.0%. The company's share price is also trading near its 52-week low, which could be a signal for bargain hunters or a cause for caution depending on the investor's perspective.
While Siebert Financial does not currently pay a dividend, the company has been profitable over the last twelve months, which is an encouraging sign for potential investors. For those interested in a deeper dive into Siebert's financials and stock performance, InvestingPro offers additional tips and insights. Currently, there are 9 more InvestingPro Tips available for Siebert Financial at https://www.investing.com/pro/SIEB, providing a comprehensive analysis for informed investment decisions.
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