Zacks Research Equities Analysts Lower Earnings Estimates for Morgan Stanley (NYSE:MS)

Morgan Stanley (NYSE:MS) – Investment analysts at Zacks Research reduced their Q2 2024 EPS estimates for shares of Morgan Stanley in a note issued to investors on Tuesday, June 18th. Zacks Research analyst R. Department now anticipates that the financial services provider will earn $1.60 per share for the quarter, down from their prior estimate of $1.62. The consensus estimate for Morgan Stanley’s current full-year earnings is $6.83 per share. Zacks Research also issued estimates for Morgan Stanley’s Q4 2024 earnings at $1.48 EPS, FY2024 earnings at $6.70 EPS, Q2 2025 earnings at $1.90 EPS, Q3 2025 earnings at $1.89 EPS, Q4 2025 earnings at $1.71 EPS and FY2025 earnings at $7.44 EPS.

Morgan Stanley (NYSE:MS) last posted its earnings results on Tuesday, April 16th. The financial services provider reported $2.02 EPS for the quarter, topping analysts’ consensus estimates of $1.69 by $0.33. The firm had revenue of $15.14 billion during the quarter, compared to analysts’ expectations of $14.42 billion. Morgan Stanley had a net margin of 9.57% and a return on equity of 10.88%. The business’s revenue for the quarter was up 4.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.70 earnings per share.

Other research analysts also recently issued reports about the stock. Royal Bank of Canada reiterated a “sector perform” rating and set a $91.00 price target on shares of Morgan Stanley in a report on Wednesday, March 27th. Evercore ISI upped their target price on Morgan Stanley from $97.00 to $102.00 and gave the stock an “outperform” rating in a report on Thursday, April 4th. Jefferies Financial Group lifted their price target on Morgan Stanley from $107.00 to $109.00 and gave the company a “buy” rating in a research note on Wednesday, April 17th. HSBC upped their price objective on Morgan Stanley from $100.00 to $102.00 and gave the company a “hold” rating in a research note on Friday, April 19th. Finally, Keefe, Bruyette & Woods boosted their target price on shares of Morgan Stanley from $94.00 to $98.00 and gave the stock a “market perform” rating in a report on Wednesday, April 17th. Twelve investment analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $98.30.

Morgan Stanley Price Performance

Shares of NYSE:MS opened at $96.16 on Friday. Morgan Stanley has a one year low of $69.42 and a one year high of $103.25. The company has a debt-to-equity ratio of 2.97, a current ratio of 0.77 and a quick ratio of 0.77. The company has a market cap of $156.28 billion, a price-to-earnings ratio of 17.52, a PEG ratio of 1.19 and a beta of 1.38. The firm has a 50 day simple moving average of $95.86 and a 200 day simple moving average of $91.15.

Morgan Stanley Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, May 15th. Stockholders of record on Tuesday, April 30th were paid a $0.85 dividend. This represents a $3.40 dividend on an annualized basis and a dividend yield of 3.54%. The ex-dividend date was Monday, April 29th. Morgan Stanley’s dividend payout ratio is 61.93%.

Insider Activity at Morgan Stanley

In other news, Chairman James P. Gorman sold 100,000 shares of the firm’s stock in a transaction that occurred on Thursday, April 18th. The shares were sold at an average price of $90.21, for a total transaction of $9,021,000.00. Following the completion of the sale, the chairman now owns 414,870 shares of the company’s stock, valued at approximately $37,425,422.70. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. In related news, insider Charles Aubrey Smith III sold 11,200 shares of the company’s stock in a transaction that occurred on Wednesday, April 17th. The stock was sold at an average price of $90.09, for a total transaction of $1,009,008.00. Following the transaction, the insider now directly owns 126,190 shares of the company’s stock, valued at approximately $11,368,457.10. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, Chairman James P. Gorman sold 100,000 shares of the stock in a transaction that occurred on Thursday, April 18th. The stock was sold at an average price of $90.21, for a total value of $9,021,000.00. Following the completion of the transaction, the chairman now owns 414,870 shares in the company, valued at approximately $37,425,422.70. The disclosure for this sale can be found here. Insiders have sold a total of 118,154 shares of company stock worth $10,722,696 in the last 90 days. Corporate insiders own 0.24% of the company’s stock.

Hedge Funds Weigh In On Morgan Stanley

A number of institutional investors have recently modified their holdings of MS. Wellington Management Group LLP increased its stake in Morgan Stanley by 17.2% during the 4th quarter. Wellington Management Group LLP now owns 38,451,051 shares of the financial services provider’s stock valued at $3,585,561,000 after purchasing an additional 5,631,435 shares in the last quarter. Capital International Investors grew its holdings in shares of Morgan Stanley by 16.3% during the first quarter. Capital International Investors now owns 28,481,070 shares of the financial services provider’s stock valued at $2,681,778,000 after buying an additional 3,981,528 shares during the last quarter. Fisher Asset Management LLC increased its position in shares of Morgan Stanley by 2.6% during the fourth quarter. Fisher Asset Management LLC now owns 20,250,725 shares of the financial services provider’s stock worth $1,888,380,000 after acquiring an additional 517,446 shares in the last quarter. Massachusetts Financial Services Co. MA raised its holdings in shares of Morgan Stanley by 2.9% in the 4th quarter. Massachusetts Financial Services Co. MA now owns 20,197,232 shares of the financial services provider’s stock worth $1,883,392,000 after acquiring an additional 575,114 shares during the last quarter. Finally, Northern Trust Corp lifted its position in Morgan Stanley by 2.2% in the 3rd quarter. Northern Trust Corp now owns 13,107,965 shares of the financial services provider’s stock valued at $1,070,528,000 after acquiring an additional 277,909 shares in the last quarter. 84.19% of the stock is owned by institutional investors and hedge funds.

About Morgan Stanley

Morgan Stanley, a financial holding company, provides various financial products and services to corporations, governments, financial institutions, and individuals in the Americas, Europe, the Middle East, Africa, and Asia. It operates through Institutional Securities, Wealth Management, and Investment Management segments.