Morgan Stanley (MS) closed the most recent trading day at $116.67, moving +1.16% from the previous trading session. The stock's performance was ahead of the S&P 500's daily gain of 0.55%. On the other hand, the Dow registered a gain of 1.01%, and the technology-centric Nasdaq decreased by 0.14%.
Coming into today, shares of the investment bank had lost 13.36% in the past month. In that same time, the Finance sector lost 3.92%, while the S&P 500 lost 6.22%.
Market participants will be closely following the financial results of Morgan Stanley in its upcoming release. The company's earnings per share (EPS) are projected to be $2.32, reflecting a 14.85% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $16.83 billion, indicating a 11.17% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $8.61 per share and revenue of $65.47 billion, indicating changes of +8.3% and +6%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Morgan Stanley. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.54% higher within the past month. Currently, Morgan Stanley is carrying a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Morgan Stanley has a Forward P/E ratio of 13.39 right now. This denotes a discount relative to the industry's average Forward P/E of 14.15.
Meanwhile, MS's PEG ratio is currently 1.01. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Financial - Investment Bank industry stood at 1.01 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 27, positioning it in the top 11% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Morgan Stanley (MS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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