FY2026 EPS Estimates for Morgan Stanley Reduced by Analyst

Key Points

• Erste Group Bank trimmed its FY2026 EPS estimate for Morgan Stanley to $11.97 from $12.00, though it kept a Buy rating on the stock. The new estimate is still slightly above the current consensus of $11.85 per share.
• Morgan Stanley recently beat quarterly expectations, reporting EPS of $3.43 versus the $3.02 consensus and revenue of $20.58 billion versus $19.23 billion expected. Revenue rose 16% year over year, highlighting solid operating momentum.
• Analyst sentiment remains mixed but constructive, with a consensus rating of Moderate Buy and an average price target of $205.95. The stock was trading around $212.74, near its 12-month high of $219.16.

Morgan Stanley (NYSE:MS - Free Report) - Erste Group Bank dropped their FY2026 earnings estimates for Morgan Stanley in a report released on Friday, June 5th. Erste Group Bank analyst H. Engel now expects that the financial services provider will earn $11.97 per share for the year, down from their previous estimate of $12.00. Erste Group Bank currently has a "Buy" rating on the stock. The consensus estimate for Morgan Stanley's current full-year earnings is $11.85 per share.

Several other research analysts also recently weighed in on the stock. CICC Research upped their target price on shares of Morgan Stanley from $175.00 to $200.00 and gave the stock an "outperform" rating in a report on Tuesday, May 19th. Keefe, Bruyette & Woods increased their price objective on shares of Morgan Stanley from $210.00 to $218.00 and gave the company an "outperform" rating in a research report on Thursday, April 16th. HSBC raised their target price on shares of Morgan Stanley from $153.00 to $177.00 and gave the stock a "hold" rating in a report on Friday, April 17th. Argus raised their target price on shares of Morgan Stanley from $210.00 to $225.00 and gave the stock a "buy" rating in a report on Thursday, April 16th. Finally, Royal Bank Of Canada reiterated a "sector perform" rating and set a $207.00 price objective on shares of Morgan Stanley in a report on Thursday, April 16th. Twelve research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $205.95.

Morgan Stanley Stock Up 2.9%

Shares of Morgan Stanley stock opened at $212.74 on Friday. Morgan Stanley has a twelve month low of $128.81 and a twelve month high of $219.16. The company has a market cap of $335.55 billion, a price-to-earnings ratio of 19.27, a price-to-earnings-growth ratio of 1.55 and a beta of 1.23. The company has a quick ratio of 0.77, a current ratio of 0.77 and a debt-to-equity ratio of 3.52. The company's 50 day moving average is $192.77 and its 200 day moving average is $180.61.

Morgan Stanley (NYSE:MS - Get Free Report) last announced its quarterly earnings results on Wednesday, April 15th. The financial services provider reported $3.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.02 by $0.41. The company had revenue of $20.58 billion for the quarter, compared to analysts' expectations of $19.23 billion. Morgan Stanley had a net margin of 14.65% and a return on equity of 17.70%. Morgan Stanley's quarterly revenue was up 16.0% on a year-over-year basis. During the same quarter in the previous year, the company earned $2.60 earnings per share.

Institutional Trading of Morgan Stanley

Hedge funds have recently added to or reduced their stakes in the company. Norges Bank purchased a new position in Morgan Stanley in the fourth quarter valued at approximately $2,736,648,000. Price T Rowe Associates Inc. MD lifted its holdings in shares of Morgan Stanley by 29.1% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 14,917,776 shares of the financial services provider's stock worth $2,648,354,000 after purchasing an additional 3,364,080 shares during the period. Corient Private Wealth LLC lifted its holdings in shares of Morgan Stanley by 142.4% during the fourth quarter. Corient Private Wealth LLC now owns 3,122,060 shares of the financial services provider's stock worth $511,723,000 after purchasing an additional 1,833,844 shares during the period. Vanguard Group Inc. lifted its holdings in shares of Morgan Stanley by 1.2% during the fourth quarter. Vanguard Group Inc. now owns 119,718,100 shares of the financial services provider's stock worth $21,253,554,000 after purchasing an additional 1,361,940 shares during the period. Finally, Thrivent Financial for Lutherans lifted its holdings in shares of Morgan Stanley by 2,332.9% during the fourth quarter. Thrivent Financial for Lutherans now owns 1,406,495 shares of the financial services provider's stock worth $249,710,000 after purchasing an additional 1,348,683 shares during the period. Institutional investors and hedge funds own 84.19% of the company's stock.

Insider Activity at Morgan Stanley

In related news, insider Eric F. Grossman sold 11,118 shares of the company's stock in a transaction dated Monday, April 20th. The shares were sold at an average price of $190.75, for a total value of $2,120,758.50. Following the completion of the sale, the insider owned 169,403 shares of the company's stock, valued at approximately $32,313,622.25. This represents a 6.16% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, insider Daniel A. Simkowitz sold 14,690 shares of the company's stock in a transaction on Friday, April 17th. The stock was sold at an average price of $189.24, for a total value of $2,779,935.60. Following the transaction, the insider owned 365,802 shares in the company, valued at $69,224,370.48. This trade represents a 3.86% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 77,476 shares of company stock worth $14,644,762 in the last three months. Company insiders own 0.17% of the company's stock.

Morgan Stanley Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Thursday, April 30th were paid a dividend of $1.00 per share. This represents a $4.00 annualized dividend and a yield of 1.9%. The ex-dividend date was Thursday, April 30th. Morgan Stanley's payout ratio is presently 36.23%.

More Morgan Stanley News

Here are the key news stories impacting Morgan Stanley this week:

• Positive Sentiment: Morgan Stanley was highlighted in recent coverage as a key beneficiary of a likely IPO boom, especially from AI-related deals, which could lift underwriting, trading, and advisory revenues. Barrons article on AI IPO boom
• Positive Sentiment: Management is also signaling continued growth ambitions in wealth management, with CEO Ted Pick saying Morgan Stanley wants to build a much larger wealth platform, which supports the long-term earnings story. Yahoo Finance article on wealth management goals
• Positive Sentiment: Another note said Morgan Stanley expanded AI access across its workplace wealth hub, a move that could deepen client engagement and improve the firm’s digital wealth-management offering. Zacks article on AI access expansion
• Positive Sentiment: Erste Group slightly raised its FY2026 EPS estimate for Morgan Stanley to $11.97, above the current consensus of $11.85, reinforcing expectations for solid earnings.
• Neutral Sentiment: Mike Wilson’s latest comments on inflation and the Fed were shared in Barron’s, but they were commentary rather than a direct catalyst for Morgan Stanley shares. Barrons article on Mike Wilson macro views

Morgan Stanley Company Profile

Morgan Stanley NYSE: MS is a global financial services firm headquartered in New York City. Founded in 1935 by Henry S. Morgan and Harold Stanley, the company provides a broad range of investment banking, securities, wealth management and investment management services to corporations, governments, institutions and individual investors. Leadership has been guided by a senior executive team and board of directors; James P. Gorman has served as the company's chief executive and chairman in recent years.

The firm's primary business activities are organized around three principal businesses: Institutional Securities, Wealth Management and Investment Management.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.