Yahoo Finance Here's Why Morgan Stanley (MS) Gained But Lagged the Market Today
The latest trading session saw Morgan Stanley (MS) ending at $103.46, denoting a +0.83% adjustment from its last day's close. The stock lagged the S&P 500's daily gain of 1.02%. At the same time, the Dow added 1.09%, and the tech-heavy Nasdaq gained 1.18%.
The investment bank's shares have seen an increase of 7.52% over the last month, surpassing the Finance sector's loss of 5.14% and the S&P 500's gain of 4.44%.
The upcoming earnings release of Morgan Stanley will be of great interest to investors. The company's earnings report is expected on July 16, 2024. The company is forecasted to report an EPS of $1.66, showcasing a 33.87% upward movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $14.23 billion, indicating a 5.74% growth compared to the corresponding quarter of the prior year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $6.83 per share and revenue of $57.84 billion. These totals would mark changes of +25.09% and +6.83%, respectively, from last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Morgan Stanley. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.1% lower. Morgan Stanley is holding a Zacks Rank of #3 (Hold) right now.
Looking at valuation, Morgan Stanley is presently trading at a Forward P/E ratio of 15.03. This represents a discount compared to its industry's average Forward P/E of 17.96.
We can also see that MS currently has a PEG ratio of 1.25. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Financial - Investment Bank industry held an average PEG ratio of 1.16.
The Financial - Investment Bank industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 70, which puts it in the top 28% of all 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Morgan Stanley (MS) : Free Stock Analysis Report
