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Morgan Stanley (MS) ended the recent trading session at $124.45, demonstrating a +0.82% swing from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.73% for the day. On the other hand, the Dow registered a gain of 0.16%, and the technology-centric Nasdaq increased by 0.98%.
The the stock of investment bank has fallen by 8.35% in the past month, lagging the Finance sector's loss of 2.93% and the S&P 500's gain of 0.34%.
The upcoming earnings release of Morgan Stanley will be of great interest to investors. The company's earnings report is expected on January 16, 2025. The company is expected to report EPS of $1.58, up 39.82% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $14.65 billion, up 13.6% from the year-ago period.
MS's full-year Zacks Consensus Estimates are calling for earnings of $7.36 per share and revenue of $60.17 billion. These results would represent year-over-year changes of +34.8% and +11.14%, respectively.
Investors should also note any recent changes to analyst estimates for Morgan Stanley. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 past month, there's been a 0.48% rise in the Zacks Consensus EPS estimate. Morgan Stanley is currently a Zacks Rank #3 (Hold).
In the context of valuation, Morgan Stanley is at present trading with a Forward P/E ratio of 16.77. This represents a premium compared to its industry's average Forward P/E of 16.43.
We can additionally observe that MS currently boasts a PEG ratio of 1.11. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Financial - Investment Bank industry stood at 1.37 at the close of the market yesterday.
The Financial - Investment Bank industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 52, positioning it in the top 21% of all 250+ industries.