Morgan Stanley (MS) ended the recent trading session at $211.04, demonstrating a -1.07% change from the preceding day's closing price. This change lagged the S&P 500's daily loss of 0.71%. Elsewhere, the Dow saw a downswing of 0.79%, while the tech-heavy Nasdaq depreciated by 1.03%.
Coming into today, shares of the investment bank had gained 0.99% in the past month. In that same time, the Finance sector gained 0.84%, while the S&P 500 gained 2.72%.
The investment community will be paying close attention to the earnings performance of Morgan Stanley in its upcoming release. The company is expected to report EPS of $3.01, up 7.5% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $19.88 billion, up 9.07% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $12.79 per share and a revenue of $81.87 billion, indicating changes of +25.27% and +15.89%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for Morgan Stanley. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.01% increase. Morgan Stanley presently features a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Morgan Stanley is holding a Forward P/E ratio of 16.68. For comparison, its industry has an average Forward P/E of 14.76, which means Morgan Stanley is trading at a premium to the group.
It's also important to note that MS currently trades at a PEG ratio of 1.51. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Financial - Investment Bank industry stood at 1.02 at the close of the market yesterday.
The Financial - Investment Bank industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 32, finds itself in the top 14% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners UpWant 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
