We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Morgan Stanley (MS) Outpaces Stock Market Gains: What You Should Know
Read MoreHide Full Article
Morgan Stanley (MS - Free Report) closed the most recent trading day at $92.71, moving +1.74% from the previous trading session. This change outpaced the S&P 500's 0.73% gain on the day. Elsewhere, the Dow gained 0.31%, while the tech-heavy Nasdaq added 0.16%.
Heading into today, shares of the investment bank had gained 1.46% over the past month, outpacing the Finance sector's loss of 1.41% and the S&P 500's gain of 0.09% in that time.
Investors will be hoping for strength from Morgan Stanley as it approaches its next earnings release, which is expected to be January 17, 2023. The company is expected to report EPS of $1.44, down 30.77% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $12.41 billion, down 14.55% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $6.44 per share and revenue of $53.3 billion, which would represent changes of -21.65% and -10.79%, respectively, from the prior year.
Any recent changes to analyst estimates for Morgan Stanley should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% lower. Morgan Stanley currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Morgan Stanley has a Forward P/E ratio of 14.14 right now. Its industry sports an average Forward P/E of 14.98, so we one might conclude that Morgan Stanley is trading at a discount comparatively.
We can also see that MS currently has a PEG ratio of 1.77. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Financial - Investment Bank stocks are, on average, holding a PEG ratio of 1.1 based on yesterday's closing prices.
The Financial - Investment Bank industry is part of the Finance sector. This group has a Zacks Industry Rank of 84, putting it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
View the Zacks #1 Rank List
Image: Bigstock
Morgan Stanley (MS) Outpaces Stock Market Gains: What You Should Know
Morgan Stanley (MS - Free Report) closed the most recent trading day at $92.71, moving +1.74% from the previous trading session. This change outpaced the S&P 500's 0.73% gain on the day. Elsewhere, the Dow gained 0.31%, while the tech-heavy Nasdaq added 0.16%.
Heading into today, shares of the investment bank had gained 1.46% over the past month, outpacing the Finance sector's loss of 1.41% and the S&P 500's gain of 0.09% in that time.
Investors will be hoping for strength from Morgan Stanley as it approaches its next earnings release, which is expected to be January 17, 2023. The company is expected to report EPS of $1.44, down 30.77% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $12.41 billion, down 14.55% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $6.44 per share and revenue of $53.3 billion, which would represent changes of -21.65% and -10.79%, respectively, from the prior year.
Any recent changes to analyst estimates for Morgan Stanley should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% lower. Morgan Stanley currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Morgan Stanley has a Forward P/E ratio of 14.14 right now. Its industry sports an average Forward P/E of 14.98, so we one might conclude that Morgan Stanley is trading at a discount comparatively.
We can also see that MS currently has a PEG ratio of 1.77. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Financial - Investment Bank stocks are, on average, holding a PEG ratio of 1.1 based on yesterday's closing prices.
The Financial - Investment Bank industry is part of the Finance sector. This group has a Zacks Industry Rank of 84, putting it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.