Morgan Stanley (NYSE:MS) Sets New 12-Month High - Time to Buy?

Key Points

• Morgan Stanley's stock reached a new 52-week high of $149.18 during trading, currently priced at $148.60, reflecting strong trading volume of 363,735 shares.
• Multiple analysts have revised their price targets for Morgan Stanley, with Keefe, Bruyette & Woods raising it to $160.00, indicating confidence in the stock's potential growth.
• The company has also increased its quarterly dividend to $1.00, up from $0.93, signaling financial stability and a shareholder-friendly approach.

Morgan Stanley (NYSE:MS - Get Free Report) reached a new 52-week high during trading on Wednesday . The stock traded as high as $149.18 and last traded at $148.60, with a volume of 363735 shares changing hands. The stock had previously closed at $148.97.

Analyst Upgrades and Downgrades

MS has been the topic of several analyst reports. Wells Fargo & Company lifted their target price on Morgan Stanley from $120.00 to $145.00 and gave the company an "equal weight" rating in a research report on Tuesday, July 8th. Keefe, Bruyette & Woods raised Morgan Stanley from a "market perform" rating to an "outperform" rating and lifted their target price for the company from $127.00 to $160.00 in a research report on Wednesday, July 9th. Citigroup reaffirmed a "neutral" rating and set a $130.00 target price (up previously from $125.00) on shares of Morgan Stanley in a research report on Wednesday, June 18th. The Goldman Sachs Group lifted their target price on Morgan Stanley from $121.00 to $136.00 and gave the company a "neutral" rating in a research report on Tuesday, June 10th. Finally, Erste Group Bank raised Morgan Stanley from a "hold" rating to a "strong-buy" rating in a research report on Saturday, May 24th. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and nine have given a Hold rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average price target of $138.25.

Morgan Stanley Trading Up 0.2%

The stock has a market capitalization of $240.25 billion, a P/E ratio of 17.04, a price-to-earnings-growth ratio of 1.88 and a beta of 1.32. The company has a debt-to-equity ratio of 3.30, a quick ratio of 0.78 and a current ratio of 0.78. The stock has a 50-day moving average price of $143.05 and a two-hundred day moving average price of $129.37.

Morgan Stanley (NYSE:MS - Get Free Report) last released its earnings results on Wednesday, July 16th. The financial services provider reported $2.13 EPS for the quarter, beating analysts' consensus estimates of $1.98 by $0.15. The company had revenue of $16.79 billion during the quarter, compared to analysts' expectations of $16.15 billion. Morgan Stanley had a return on equity of 15.20% and a net margin of 13.06%.The firm's revenue for the quarter was up 11.8% compared to the same quarter last year. During the same quarter last year, the business posted $1.82 EPS. On average, research analysts forecast that Morgan Stanley will post 8.56 EPS for the current fiscal year.

Morgan Stanley Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 15th. Investors of record on Thursday, July 31st were issued a $1.00 dividend. This represents a $4.00 annualized dividend and a yield of 2.7%. The ex-dividend date was Thursday, July 31st. This is a positive change from Morgan Stanley's previous quarterly dividend of $0.93. Morgan Stanley's dividend payout ratio is 45.30%.

Morgan Stanley announced that its board has approved a stock repurchase program on Tuesday, July 1st that allows the company to repurchase $20.00 billion in shares. This repurchase authorization allows the financial services provider to purchase up to 8.9% of its stock through open market purchases. Stock repurchase programs are often a sign that the company's board believes its shares are undervalued.

Insider Activity at Morgan Stanley

In related news, insider Daniel A. Simkowitz sold 29,000 shares of the company's stock in a transaction on Thursday, July 17th. The stock was sold at an average price of $141.13, for a total transaction of $4,092,770.00. Following the completion of the sale, the insider owned 399,105 shares in the company, valued at approximately $56,325,688.65. This represents a 6.77% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Charles A. Smith sold 20,000 shares of the company's stock in a transaction dated Thursday, July 17th. The stock was sold at an average price of $140.30, for a total value of $2,806,000.00. Following the completion of the sale, the insider owned 119,239 shares of the company's stock, valued at approximately $16,729,231.70. The trade was a 14.36% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 148,149 shares of company stock valued at $20,841,628 in the last 90 days. 0.19% of the stock is owned by company insiders.

Hedge Funds Weigh In On Morgan Stanley

Hedge funds have recently made changes to their positions in the business. Minot DeBlois Advisors LLC bought a new position in Morgan Stanley during the fourth quarter valued at approximately $25,000. CBIZ Investment Advisory Services LLC boosted its stake in Morgan Stanley by 111.0% during the first quarter. CBIZ Investment Advisory Services LLC now owns 211 shares of the financial services provider's stock valued at $25,000 after buying an additional 111 shares during the last quarter. Princeton Global Asset Management LLC boosted its stake in Morgan Stanley by 645.8% during the second quarter. Princeton Global Asset Management LLC now owns 179 shares of the financial services provider's stock valued at $25,000 after buying an additional 155 shares during the last quarter. MorganRosel Wealth Management LLC bought a new position in Morgan Stanley during the first quarter valued at approximately $27,000. Finally, WFA of San Diego LLC bought a new position in Morgan Stanley during the second quarter valued at approximately $28,000. Institutional investors own 84.19% of the company's stock.

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.