Morgan Stanley (MS) Declines More Than Market: Some Information for Investors
The latest trading session saw Morgan Stanley (MS) ending at $91.95, denoting a -1.55% adjustment from its last day's close. The stock trailed the S&P 500, which registered a daily loss of 0.14%. Elsewhere, the Dow lost 0.77%, while the tech-heavy Nasdaq added 0.17%.
Shares of the investment bank have appreciated by 8.79% over the course of the past month, outperforming the Finance sector's gain of 4.92% and the S&P 500's gain of 5.34%.
Analysts and investors alike will be keeping a close eye on the performance of Morgan Stanley in its upcoming earnings disclosure. The company's earnings report is set to go public on April 16, 2024. The company is expected to report EPS of $1.70, unchanged from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $14.41 billion, indicating a 0.73% decrease compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $6.33 per share and revenue of $56.64 billion, which would represent changes of +15.93% and +4.62%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Morgan Stanley. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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, the Zacks Consensus EPS estimate has shifted 0.53% downward. At present, Morgan Stanley boasts a Zacks Rank of #3 (Hold).
Looking at its valuation, Morgan Stanley is holding a Forward P/E ratio of 14.76. For comparison, its industry has an average Forward P/E of 17.81, which means Morgan Stanley is trading at a discount to the group.
Also, we should mention that MS has a PEG ratio of 1.9. 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. The Financial - Investment Bank industry currently had an average PEG ratio of 1.21 as of yesterday's close.
The Financial - Investment Bank industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 16, placing it within the top 7% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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 Report
