Morgan Stanley net income, revenue rise in Q1

Thursday, 20 Apr, 2017

Now the P/E of Morgan Stanley stands at 14.19. The transaction was disclosed in a document filed with the SEC, which is available at this link.

In other Morgan Stanley news, CFO Paul C. Wirth sold 10,000 shares of Morgan Stanley stock in a transaction dated Thursday, January 26th. To make a proper assessment, investors seek a sound estimate of this year's and next year's earnings per share (EPS), as well as a strong sense of how much the company will earn even farther down the road. The disclosure for this sale can be found here.

Goldman Sachs shocked the Street this week with its first earnings miss since 2015 and its first sales disappointment since a year ago. Comparatively, Morgan Stanley posted earnings of $0.81 per share in the same quarter past year. The stock is now trading with a distance of 20-Day Simple Moving Average (SMA20) of -2.51%.

The wealth-management business posted a 24% profit margin, the highest since Morgan Stanley bought Smith Barney after the financial crisis. MCF Advisors LLC increased its position in Morgan Stanley by 0.6% in the third quarter. Corporate insiders own 0.35% of the company's stock.

Following the earnings release, Morgan Stanley shares were up almost 4% in the pre-trading session. The Moving Average SMA50 is -7.25% while SMA200 is 10.71%.

That stood in sharp contrast to those of chief rival Goldman Sachs, whose trading revenue inched up just 1 percent versus solid, double-digit gains at its bulge-bracket rivals. A 2 percent drop in the top line, though, left Goldman's traders bringing in nearly half what they managed two years ago.

"It's all been positive from that perspective", Jonathan Pruzan, Morgan Stanley's chief financial officer, said Wednesday in an earnings call.

Morgan Stanley hit a key milestone on a profitability metric - return on equity.

However, CFRA analyst Ken Leon has retained the one-year price target of $50 on Morgan Stanley implying upside potentials of over 17 percent from the current levels. Similarly, the analyst boosted his EPS view by ten cents a share to $3.95 for 2018. MS as declared a $0.20 quarterly dividend per share, payable on May 15th, 2017 to common shareholders of record on May 1st, 2017.

Several brokerages have issued reports on MS.

Morgan Stanley (MS) now has a consensus Price Target of $47.42. Looking at this figure it suggests that the shares of Morgan Stanley (MS) may be overvalued, however, this can also depend upon the situation of the market; if the market is strong then it could suggest that Morgan Stanley (MS) is a good investment, however if the market is weaker then it could suggest that the shares are undervalued. JPMorgan Chase & Co. reiterated a "buy" rating on shares of Morgan Stanley in a research note on Tuesday, March 14th.