MS-PF - Morgan Stanley
| Previous Close | 28.33 |
| Open | 28.37 |
| Bid | 28.31 x 1000 |
| Ask | 28.30 x 1300 |
| Day's Range | 28.31 - 28.40 |
| 52 Week Range | 25.35 - 28.76 |
| Volume | 33,153 |
| Avg. Volume | 56,632 |
| Market Cap | 73.234B |
| Beta (3Y Monthly) | 0.12 |
| PE Ratio (TTM) | 6.09 |
| EPS (TTM) | 4.65 |
| Earnings Date | N/A |
| Forward Dividend & Yield | 1.72 (6.06%) |
| Ex-Dividend Date | 2019-06-27 |
| 1y Target Est | N/A |
- Bloomberg•4 days ago
Goldman, Morgan Stanley Do Better in Fed Stress Tests After 2018’s Stumble
(Bloomberg) -- Goldman Sachs Group Inc. and Morgan Stanley improved on last year’s poor results in the first round of the latest Federal Reserve stress tests, a sign they may have more flexibility to boost payouts to shareholders.In figures posted Friday by the Fed, the pair didn’t come as close to breaching regulatory minimums as they did last year, offering hope they will escape limits on dividends and stock buybacks imposed back then. All 18 banks in the exam demonstrated an ability to withstand a hypothetical financial shock. The second and final round next week determines whether firms win approval to boost capital payouts.Results posted so far show banks are getting better at coping with what’s become one of the most rigorous supervisory efforts: They maintained a collective common equity Tier 1 ratio that was double the regulatory minimum even at the depths of the theoretical recession. Lenders have been building capital for years, and while this year’s exam was harsher on credit-card loans, trading losses were down from last year at four of the five biggest Wall Street firms.Still, when the process wraps up next week, analysts expect big banks to slow the expansion of payouts to shareholders after two years of surging dividends and buybacks.Goldman Sachs and Morgan Stanley were allowed to dip below the required minimums in the second part of last year’s test because some of the decline was a result of one-time charges related to the 2017 federal tax overhaul. After next week’s round, Goldman is expected to modestly reduce its total payout in dollar terms while Morgan Stanley modestly increases it, according to analyst estimates compiled by Bloomberg before Friday’s results.This year, Goldman Sachs’s supplementary leverage ratio fell to as low as 4% in the first round of the Fed’s test, an improvement from 3.1% last year. Morgan Stanley’s ratio was 3.9%, compared with 3.3% last year. To carry out proposals to distribute capital, banks need to remain above 3% by that measure in next week’s test.Taking ‘Mulligan’Lenders are given a chance to adjust and resubmit their cash distribution plans before the second set of results is released June 27. A record number of firms used the so-called mulligan last year to adjust their original payout requests to stay above the minimum requirements.The 12 largest U.S. lenders tested are expected to boost payouts by $5 billion in the next four quarters, after dividends and buybacks jumped by more than $30 billion each of the past two years. Still, the increase means they’ll likely pay out more than 100% of their annual profit.In past years, some banks had initial proposals for payouts reined in after they projected their capital and leverage ratios would hold up better than what the Fed calculated. In some cases, the Fed even took issue with the strength of their capital planning.This year, a half dozen firms including Bank of America Corp. posted internal calculations that were instead lower than the Fed’s, indicating they were even more conservative than examiners. Still, several companies were more optimistic. Morgan Stanley, for example, calculated its leverage ratio would be 1.7 percentage points higher than what the Fed found. Altogether, the 18 banks tested would suffer a $115 billion pretax loss in the severely adverse scenario, the Fed said. That amounts to 0.8% of the banks’ average assets, the same ratio as under last year’s test. Their hypothetical revenue before provisions and trading losses was projected by the Fed to be 2.4% of assets, down from 3% last year.A steeper yield curve foreseen in last year’s scenario helped prop up pre-provision revenues because banks make more money when the gap between short-term and long-term rates widens. The change in assumptions about interest rates this time helped banks book gains in their Treasury portfolios even as it lowered their pre-provision revenues.Credit CardsThis year’s stress scenario featured a harsher hypothetical recession and the worst increase in unemployment used in the tests so far, yet its stock- and bond-market losses were less severe than last year. That helped Goldman Sachs and Morgan Stanley, which derive more of their income from securities trading than lending.Historically, losses tied to credit cards and commercial loans tended to be similar amounts. But this year, losses tied to cards under the central bank’s severely adverse scenario reached $107 billion, outpacing the $73 billion in losses produced by their commercial counterparts.The central bank said credit-card loss rates increased “due in part to the final phase-in of changes to the supervisory credit-card model.” That model changed how Fed treats uncollected interest and fees at the time of default.Foreign BanksFriday’s results also included what would happen to the capital ratios of six foreign banks’ U.S. units under the same scenario. HSBC Holdings Plc’s U.S. arm saw its leverage ratio fall to within a percentage point of the minimum, the narrowest margin in this year’s group. Next week, units of foreign banks also face a qualitative evaluation of their risk management, data-collection capabilities and capital planning. That’s where some of them could trip up.Foreign firms failing the test can’t repatriate profits earned in the U.S. to their parent companies. For Deutsche Bank AG, whose U.S. units have failed the test three times already, a failing grade will be yet another blow to investor confidence as it struggles with restructuring efforts and profitability. The Fed placed the firm’s U.S. arm on a list of troubled lenders last year because of deficiencies in its internal oversight.The exams are in flux because the Fed is working on a rule that will more closely marry the stress testing process with day-to-day capital decisions at the banks. And the agency has tried to make the regime more transparent -- an effort that has accelerated amid President Donald Trump’s deregulatory agenda.As part of that effort, Congress passed a law last year ordering less strict treatment of smaller banks. That prompted the central bank to ease the stress test burden on a dozen regional U.S. lenders and half a dozen smaller foreign banks, which are now tested every other year and weren’t included in this year’s exercise.(Updates with companies’ own projections from the ninth paragraph.)\--With assistance from Jenny Surane and Gregory Mott.To contact the reporters on this story: Yalman Onaran in New York at yonaran@bloomberg.net;Jesse Hamilton in Washington at jhamilton33@bloomberg.netTo contact the editors responsible for this story: Michael J. Moore at mmoore55@bloomberg.net, ;Jesse Westbrook at jwestbrook1@bloomberg.net, David Scheer, Dan ReichlFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- Market Realist•5 days ago
Trouble for Bankers? Slack’s Direct Offering Bests Uber’s IPO
Slack (WORK) opened for trading on June 20 at around 12:00 ET. The stock opened at $38.25, 47% higher than the reference price of $26 set by the NYSE. At that price, the company is valued at over $23 billion.
- GuruFocus.com•7 days ago
Morgan Stanley's Business Conditions Index Hits 2nd-Lowest Reading Ever
Poor business confidence threatens the economy
- Markit•7 days ago
See what the IHS Markit Score report has to say about Morgan Stanley.
Morgan Stanley NYSE:MSView full report here! Summary * Perception of the company's creditworthiness is neutral * ETFs holding this stock are seeing positive inflows * Bearish sentiment is low * Economic output for the sector is expanding but at a slower rate Bearish sentimentShort interest | PositiveShort interest is extremely low for MS with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting MS. Money flowETF/Index ownership | PositiveETF activity is positive. Over the last month, ETFs holding MS are favorable, with net inflows of $6.60 billion. Additionally, the rate of inflows is increasing. Economic sentimentPMI by IHS Markit | NegativeAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Financials sector is rising. The rate of growth is weak relative to the trend shown over the past year, however, and is easing. Credit worthinessCredit default swap | NeutralThe current level displays a neutral indicator. MS credit default swap spreads are within the middle of their range for the last three years.Please send all inquiries related to the report to score@ihsmarkit.com.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
- Bloomberg•11 days ago
Gloomy Stress Test Can Only Slow U.S. Banks' Buyback Train
After two years of surging payouts as regulators relaxed the reins on the biggest lenders, those firms are likely to boost dividends and buybacks by just 3% following this year’s stress test, according to analysts’ estimates compiled by Bloomberg. The Federal Reserve will release results of the first part of its annual review next week. Payouts to shareholders started to ramp up in 2016 after the Fed was satisfied that the largest lenders had adequately beefed up loss buffers and improved risk management.
- Market Realist•11 days ago
Morgan Stanley CEO Expects a Recession if Trade Tensions Continue
On June 14, the broader market is likely to open on a negative note after closing in the green yesterday. Today at 7:00 AM EDT, S&P 500 Index futures, Nasdaq futures, and Dow futures were trading with 0.3%, 0.8%, and 0.2% losses for the day, respectively.
- American City Business Journals•12 days ago
Disney streaming could outpace Netflix in the U.S. within five years
Disney will sign up more than 130 million streaming subscribers globally by 2024, an analyst wrote on Thursday.
- Reuters•13 days ago
Morgan Stanley wants majority stake in Chinese joint venture - CEO
Morgan Stanley wants to obtain majority ownership of a joint venture in China, but regulators there have not signed off on the idea, Chief Executive Officer James Gorman said on Wednesday. Morgan Stanley, the sixth-largest U.S. bank by assets, has a mutual funds joint venture in China called Morgan Stanley Huaxin Fund Management Co, as well as a securities joint venture with Huaxin Securities.
- American City Business Journals•13 days ago
Morgan Stanley sues former Atlanta wealth manager who oversaw $177 million of client assets
Benjamin F. Joel worked at Morgan Stanley's office at 5565 Glenridge Connector until he resigned May 24 to join RBC Wealth Management.
Bloomberg•14 days agoMorgan Stanley, Citi Sound Warning Bell on Trading Slowdown
“I’d be very surprised if we beat the first quarter,” Morgan Stanley Chief Executive Officer James Gorman said Tuesday at an industry conference in New York. Gorman said that macro trading was especially “challenged,” while merger activity has been “lumpy.” At Citigroup Inc., second-quarter fixed-income and equities trading revenue will likely fall by a percentage in the “mid-single-digit range” from a year ago, while investment-banking fees are expected to drop by a percentage in the “mid-teens,” Chief Financial Officer Mark Mason said separately at the conference. Goldman Sachs Group Inc. CEO David Solomon said in a CNBC interview Tuesday that the quarter has been “up and down,” declining to give a forecast for the firm’s trading revenue.
- Reuters•14 days ago
Morgan Stanley's Q2 trading revenue unlikely to beat Q1 – CEO
Morgan Stanley's second quarter trading revenue is unlikely to beat results of the first three months of the year, as the last two weeks have been "quite hard", the bank's Chief Executive James Gorman said on Tuesday. The bank plans to "run it tight" on expenses, but issues remain, including crisis-era legal expenses and technology depreciation, Gorman said speaking at the company's annual U.S. Financials Conference. The bank's tax rate is also expected to be higher in the second quarter, Gorman added.
- GuruFocus.com•14 days ago
Investors Are Overreacting to the US-Mexico Deal
Do not mistake the forest for the trees
- Yahoo Finance•14 days ago
Morgan Stanley: Millennials, Gen Z set to boost the US economy
A Morgan Stanley report says that Generations Y and Z will outpace labor participation forecasts from the CBO.
- Insider Monkey•14 days ago
Here’s What Hedge Funds Think About Morgan Stanley (MS)
While the market driven by short-term sentiment influenced by the accomodative interest rate environment in the US, increasing oil prices and optimism towards the resolution of the trade war with China, many smart money investors kept their cautious approach regarding the current bull run in the first quarter and hedging or reducing many of their […]
- Bloomberg•15 days ago
Wall Street Giants Battle a Secret Deal Whisperer on Tech IPOs
The Wall Street giant wanted to make sure it would still be an adviser if Pagerduty ended up getting acquired instead of listing on the New York Stock Exchange as planned. Morgan Stanley’s bid for reassurance was driven in part by an increasing threat from boutique investment banks, in particular Frank Quattrone’s Qatalyst Partners, which have become adept at finding acquisition deals for technology companies in the final stages of IPOs.
- Investopedia•16 days ago
Goldman Sachs vs. Morgan Stanley: Comparing Business Models
Goldman Sachs and Morgan Stanley have distinct ways of doing business, with one focusing on high rewards and the other on caution.
- Bloomberg•22 days ago
Morgan Stanley Touts Alternatives for Yield-Hungry Japan Clients
The firm will attract money from Japanese institutional investors by touting so-called alternative assets, including loans extended by funds to small U.S. and European companies, Morgan Stanley Investment Management (Japan) President Hiroyuki Shimizu said in an interview. Rock-bottom interest rates have driven Japan’s biggest banks and insurers into overseas alternatives, such as real estate and private equity, even though they can be harder to unwind than traditional assets like government bonds.
- Reuters•last month
Brazil's Caixa picks Morgan Stanley as co-advisor on insurance deals - source
Brazilian state lender Caixa Economica Federal has picked investment bank Morgan Stanley as co-advisor to help it find insurance partners, a source with knowledge of the matter said. Morgan Stanley will manage the process alongside Caixa's investment banking unit, the source said. Caixa Seguridade Participacoes, the insurance unit of the state lender, on Friday launched four processes to select insurance partners to sell health, dental, assistance and large risk policies.
Reuters•last monthBrazil's Caixa picks Morgan Stanley as co-advisor on insurance deals: source
Brazilian state lender Caixa Economica Federal has picked investment bank Morgan Stanley as co-advisor to help it find insurance partners, a source with knowledge of the matter said. Morgan Stanley will manage the process alongside Caixa's investment banking unit, the source said. Caixa Seguridade Participacoes, the insurance unit of the state lender, on Friday launched four processes to select insurance partners to sell health, dental, assistance and large risk policies.
- Investopedia•last month
3 Paint and Coatings Stocks Holding Support
Paint and coatings stocks have retreated toward support amid trade tariffs and margin pressure. Brush up on three trading ideas to play a rebound.
- CNBC•last month
Another analyst just put out a shocking bear case for Tesla: Citi says stock could drop to $36
"Maintain sell/high risk as the risk/reward still appears negatively skewed despite the recent capital raise and stock pullback," Citi's Itay Michaeli says. Morgan Stanley caused a stir on Tuesday when star auto analyst Adam Jonas put out a "bear case" scenario that envisioned Tesla TSLA 's shares plummeting to just $10. Citi's Itay Michaeli sees increasing probability the shares plummet more than 80% to $36.
