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Morgan Stanley (MS) Beats Stock Market Upswing: What Investors Need to Know

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In the latest trading session, Morgan Stanley (MS - Free Report) closed at $164.32, marking a +1.77% move from the previous day. The stock outperformed the S&P 500, which registered a daily gain of 1.15%. On the other hand, the Dow registered a gain of 1.38%, and the technology-centric Nasdaq increased by 1.38%.

The stock of investment bank has fallen by 7.95% in the past month, leading the Finance sector's loss of 8.15% and undershooting the S&P 500's loss of 5.69%.

The upcoming earnings release of Morgan Stanley will be of great interest to investors. The company's earnings report is expected on April 15, 2026. The company is predicted to post an EPS of $2.92, indicating a 12.31% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $19.14 billion, indicating a 7.92% upward movement from the same quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $11.12 per share and a revenue of $74.96 billion, indicating changes of +8.91% and +6.11%, respectively, from the former year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Morgan Stanley. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.3% higher. Morgan Stanley presently features a Zacks Rank of #2 (Buy).

Investors should also note Morgan Stanley's current valuation metrics, including its Forward P/E ratio of 14.52. This signifies a premium in comparison to the average Forward P/E of 12.73 for its industry.

It's also important to note that MS currently trades at a PEG ratio of 1.3. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Financial - Investment Bank industry currently had an average PEG ratio of 1 as of yesterday's close.

The Financial - Investment Bank industry is part of the Finance sector. This group has a Zacks Industry Rank of 32, putting it in the top 14% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow MS in the coming trading sessions, be sure to utilize Zacks.com.

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