Morgan Stanley (MS) closed the most recent trading day at $157.88, moving -1.79% from the previous trading session. This move lagged the S&P 500's daily loss of 0.29%. Meanwhile, the Dow experienced a drop of 0.37%, and the technology-dominated Nasdaq saw a decrease of 0.34%.
Heading into today, shares of the investment bank had gained 7.91% over the past month, outpacing the Finance sector's gain of 1.89% and the S&P 500's gain of 3.08%.
The investment community will be paying close attention to the earnings performance of Morgan Stanley in its upcoming release. The company is slated to reveal its earnings on October 15, 2025. The company is predicted to post an EPS of $2.02, indicating a 7.45% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $16.06 billion, indicating a 4.37% upward movement from the same quarter last year.
MS's full-year Zacks Consensus Estimates are calling for earnings of $8.87 per share and revenue of $66.87 billion. These results would represent year-over-year changes of +11.57% and +8.27%, respectively.
Investors might also notice recent changes to analyst estimates for Morgan Stanley. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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. Over the past month, the Zacks Consensus EPS estimate has shifted 0.58% upward. Morgan Stanley is currently a Zacks Rank #3 (Hold).
Digging into valuation, Morgan Stanley currently has a Forward P/E ratio of 18.13. This represents a premium compared to its industry average Forward P/E of 17.33.
One should further note that MS currently holds a PEG ratio of 2. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Financial - Investment Bank industry had an average PEG ratio of 1.68.
The Financial - Investment Bank industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 22, finds itself in the top 9% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Morgan Stanley (MS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
