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MS

Morgan StanleyNYSE:MS Stock Report

Market Cap

US$191.8b

7D

6.6%

1Y

117.2%

Updated

27 Sep, 2021

Data

Company Financials +
MS fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance4/6
Financial Health3/6
Dividends5/6

MS Overview

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.

Morgan Stanley Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Morgan Stanley
Historical stock prices
Current Share PriceUS$105.10
52 Week HighUS$46.42
52 Week LowUS$105.81
Beta1.55
1 Month Change-0.33%
3 Month Change15.95%
1 Year Change117.24%
3 Year Change125.39%
5 Year Change228.95%
Change since IPO1,256.13%

Recent News & Updates

Sep 23
Should You Be Adding Morgan Stanley (NYSE:MS) To Your Watchlist Today?

Should You Be Adding Morgan Stanley (NYSE:MS) To Your Watchlist Today?

Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...

Aug 11

Morgan Stanley: Stock Price Nearing Target Price

Since our previous analysis on Morgan Stanley, the stock has risen by 40% YTD on rising growth expectations from market tailwinds of robust capital market activity. We examined its growth outlook beyond 2021 to analyze the sustainability of its growth outlook in terms of its main business segments of asset management and investment banking. We expect the asset management business to continue faring well as its AUMs have swelled to $1.5 tln from the deal with Eaton Vance. However, trading revenue growth is already moderating and is expected to continue as volatility normalizes with the CBOEVIX index falling by 30%.

Jul 18
Morgan Stanley (NYSE:MS) Is Increasing Its Dividend To US$0.70

Morgan Stanley (NYSE:MS) Is Increasing Its Dividend To US$0.70

Morgan Stanley ( NYSE:MS ) has announced that it will be increasing its dividend on the 13th of August to US$0.70. This...

Shareholder Returns

MSUS Capital MarketsUS Market
7D6.6%3.6%2.0%
1Y117.2%63.3%32.8%

Return vs Industry: MS exceeded the US Capital Markets industry which returned 63.3% over the past year.

Return vs Market: MS exceeded the US Market which returned 32.8% over the past year.

Price Volatility

Is MS's price volatile compared to industry and market?
MS volatility
MS Beta1.55
Industry Beta1.19
Market Beta1

Stable Share Price: MS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: MS's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
192472,000James Gormanhttps://www.morganstanley.com

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. The company operates through Institutional Securities, Wealth Management, and Investment Management segments. The Institutional Securities segment offers capital raising and financial advisory services, including services related to the underwriting of debt, equity, and other securities, as well as advice on mergers and acquisitions, restructurings, real estate, and project finance.

Morgan Stanley Fundamentals Summary

How do Morgan Stanley's earnings and revenue compare to its market cap?
MS fundamental statistics
Market CapUS$191.76b
Earnings (TTM)US$13.25b
Revenue (TTM)US$55.24b

14.5x

P/E Ratio

3.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MS income statement (TTM)
RevenueUS$55.24b
Cost of RevenueUS$5.99b
Gross ProfitUS$49.25b
ExpensesUS$36.00b
EarningsUS$13.25b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 14, 2021

Earnings per share (EPS)7.26
Gross Margin89.16%
Net Profit Margin23.99%
Debt/Equity Ratio315.0%

How did MS perform over the long term?

See historical performance and comparison

Dividends

2.7%

Current Dividend Yield

23%

Payout Ratio

Valuation

Is Morgan Stanley undervalued compared to its fair value and its price relative to the market?

8.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MS ($105.1) is trading below our estimate of fair value ($115.16)

Significantly Below Fair Value: MS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: MS is good value based on its PE Ratio (14.5x) compared to the US Capital Markets industry average (15.5x).

PE vs Market: MS is good value based on its PE Ratio (14.5x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: MS's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: MS is good value based on its PB Ratio (1.9x) compared to the US Capital Markets industry average (61.3x).


Future Growth

How is Morgan Stanley forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

-1.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MS's earnings are forecast to decline over the next 3 years (-1.3% per year).

Earnings vs Market: MS's earnings are forecast to decline over the next 3 years (-1.3% per year).

High Growth Earnings: MS's earnings are forecast to decline over the next 3 years.

Revenue vs Market: MS's revenue (0.8% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: MS's revenue (0.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MS's Return on Equity is forecast to be low in 3 years time (12.9%).


Past Performance

How has Morgan Stanley performed over the past 5 years?

17.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MS has high quality earnings.

Growing Profit Margin: MS's current net profit margins (24%) are higher than last year (19.8%).


Past Earnings Growth Analysis

Earnings Trend: MS's earnings have grown by 17.6% per year over the past 5 years.

Accelerating Growth: MS's earnings growth over the past year (50.9%) exceeds its 5-year average (17.6% per year).

Earnings vs Industry: MS earnings growth over the past year (50.9%) underperformed the Capital Markets industry 78.6%.


Return on Equity

High ROE: MS's Return on Equity (12.8%) is considered low.


Financial Health

How is Morgan Stanley's financial position?


Financial Position Analysis

Short Term Liabilities: MS's short term assets ($937.2B) exceed its short term liabilities ($499.1B).

Long Term Liabilities: MS's short term assets ($937.2B) exceed its long term liabilities ($554.5B).


Debt to Equity History and Analysis

Debt Level: MS's debt to equity ratio (315%) is considered high.

Reducing Debt: MS's debt to equity ratio has reduced from 356.3% to 315% over the past 5 years.

Debt Coverage: MS's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if MS's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Morgan Stanley current dividend yield, its reliability and sustainability?

2.66%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MS's dividend (2.66%) is higher than the bottom 25% of dividend payers in the US market (1.3%).

High Dividend: MS's dividend (2.66%) is low compared to the top 25% of dividend payers in the US market (3.57%).


Stability and Growth of Payments

Stable Dividend: MS's dividends per share have been stable in the past 10 years.

Growing Dividend: MS's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22.9%), MS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MS's dividends in 3 years are forecast to be well covered by earnings (39% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.3yrs

Average management tenure


CEO

James Gorman (63 yo)

11.67yrs

Tenure

US$29,558,524

Compensation

Mr. James Patrick Gorman serves as the Chairman of the Board and Chief Executive Officer of Morgan Stanley Domestic Holdings, Inc. He has been Chief Executive Officer and Director of Morgan Stanley since J...


CEO Compensation Analysis

Compensation vs Market: James's total compensation ($USD29.56M) is above average for companies of similar size in the US market ($USD11.29M).

Compensation vs Earnings: James's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: MS's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: MS's board of directors are considered experienced (5.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: MS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.7%.


Top Shareholders

Company Information

Morgan Stanley's employee growth, exchange listings and data sources


Key Information

  • Name: Morgan Stanley
  • Ticker: MS
  • Exchange: NYSE
  • Founded: 1924
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: US$191.761b
  • Shares outstanding: 1.82b
  • Website: https://www.morganstanley.com

Number of Employees


Location

  • Morgan Stanley
  • 1585 Broadway
  • New York
  • New York
  • 10036
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/27 22:58
End of Day Share Price2021/09/27 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.