BMO Capital Markets Cuts Morgan Stanley (NYSE:MS) Price Target to $215.00

Morgan Stanley (NYSE:MS) had its price target cut by BMO Capital Markets from $250.00 to $215.00 in a research note published on Tuesday morning,Benzinga reports. They currently have an outperform rating on the financial services provider’s stock.

Other equities analysts also recently issued reports about the stock. Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a $243.00 target price on shares of Morgan Stanley in a research note on Monday, July 20th. Rothschild & Co Redburn increased their price target on shares of Morgan Stanley from $183.00 to $195.00 and gave the company a “neutral” rating in a research note on Thursday, June 25th. Zacks Research cut shares of Morgan Stanley from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, September 30th. Keefe, Bruyette & Woods raised their price target on shares of Morgan Stanley from $225.00 to $250.00 and gave the company an “outperform” rating in a report on Thursday, July 16th. Finally, Wells Fargo & Company dropped their price objective on shares of Morgan Stanley from $240.00 to $223.00 and set an “equal weight” rating for the company in a research report on Friday, September 25th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, thirteen have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Morgan Stanley currently has an average rating of “Moderate Buy” and an average target price of $219.43.

Morgan Stanley Stock Performance

Shares of NYSE:MS opened at $187.52 on Tuesday. Morgan Stanley has a twelve month low of $151.84 and a twelve month high of $232.25. The firm has a market cap of $295.77 billion, a PE ratio of 15.16, a price-to-earnings-growth ratio of 1.26 and a beta of 1.22. The company has a debt-to-equity ratio of 3.65, a quick ratio of 0.79 and a current ratio of 0.79. The business has a fifty day moving average of $207.95 and a 200-day moving average of $202.85.

Morgan Stanley (NYSE:MS) last released its quarterly earnings results on Wednesday, July 15th. The financial services provider reported $3.46 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.89 by $0.57. The business had revenue of $21.35 billion during the quarter, compared to analysts’ expectations of $19.67 billion. Morgan Stanley had a return on equity of 19.31% and a net margin of 15.65%.The firm’s revenue for the quarter was up 27.1% compared to the same quarter last year. During the same period in the previous year, the business posted $2.13 earnings per share. On average, equities research analysts predict that Morgan Stanley will post 12.68 EPS for the current fiscal year.

Morgan Stanley Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, August 14th. Shareholders of record on Friday, July 31st were given a dividend of $1.15 per share. This represents a $4.60 dividend on an annualized basis and a yield of 2.5%. The ex-dividend date was Friday, July 31st. This is a boost from Morgan Stanley’s previous quarterly dividend of $1.00. Morgan Stanley’s dividend payout ratio is currently 37.19%.

Morgan Stanley declared that its board has initiated a share repurchase plan on Wednesday, June 24th that allows the company to buyback $20.00 billion in outstanding shares. This buyback authorization allows the financial services provider to repurchase up to 5.6% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s management believes its stock is undervalued.

Institutional Investors Weigh In On Morgan Stanley

Several institutional investors have recently modified their holdings of MS. Mn Services Vermogensbeheer B.V. raised its stake in shares of Morgan Stanley by 1.7% during the third quarter. Mn Services Vermogensbeheer B.V. now owns 350,982 shares of the financial services provider’s stock worth $66,013,000 after buying an additional 5,800 shares during the last quarter. GAMMA Investing LLC lifted its holdings in Morgan Stanley by 5.1% in the third quarter. GAMMA Investing LLC now owns 41,646 shares of the financial services provider’s stock valued at $7,833,000 after buying an additional 2,016 shares during the period. Hamilton Capital LLC boosted its stake in Morgan Stanley by 1.3% in the third quarter. Hamilton Capital LLC now owns 6,415 shares of the financial services provider’s stock valued at $1,207,000 after acquiring an additional 83 shares during the last quarter. Davis Capital Management boosted its stake in Morgan Stanley by 31.6% in the third quarter. Davis Capital Management now owns 312 shares of the financial services provider’s stock valued at $59,000 after acquiring an additional 75 shares during the last quarter. Finally, Farther Finance Advisors LLC grew its holdings in Morgan Stanley by 21.6% during the 3rd quarter. Farther Finance Advisors LLC now owns 37,447 shares of the financial services provider’s stock worth $7,043,000 after acquiring an additional 6,662 shares during the period. Institutional investors and hedge funds own 84.19% of the company’s stock.

Trending Headlines about Morgan Stanley

Here are the key news stories impacting Morgan Stanley this week:

• Positive Sentiment: Morgan Stanley’s proposed conversion of eight Eaton Vance municipal-bond mutual funds, holding nearly $10 billion, into ETFs could support fee-based asset growth, improve product appeal and strengthen the firm’s wealth- and investment-management platform. Shareholder approval is required. Morgan Stanley ETF conversion article
• Positive Sentiment: Jim Cramer expressed support for Morgan Stanley following its pullback, citing the company’s buyback authorization as a reason investors may view the shares favorably. Jim Cramer supports Morgan Stanley
• Positive Sentiment: Unusually active call-option buying indicates that some traders are positioning for a rebound, although options activity is not a direct indicator of fundamental value.
• Neutral Sentiment: Analysts maintain a generally constructive view: the stock carries an average price target near $219.90, implying meaningful upside from recent trading levels, but the consensus is mixed with buy, hold and sell ratings. Morgan Stanley analyst price target article
• Negative Sentiment: Erste Group downgraded Morgan Stanley from Buy to Hold, while TD Cowen initiated coverage with a Hold rating and a $210 price target. These actions may have reinforced profit-taking and reduced the impact of more bullish views.
• Negative Sentiment: Investors are also preparing for the next earnings report. Although Morgan Stanley recently delivered a substantial EPS and revenue beat, Zacks said the company lacks the combination of factors that typically supports another likely earnings surprise, increasing caution ahead of results. Morgan Stanley earnings expectations
• Negative Sentiment: Broader market weakness, including declines in major technology and industrial stocks, likely added pressure to financial shares. Morgan Stanley’s beta of 1.22 also makes it more sensitive than the broader market to risk-off trading.

Morgan Stanley Company Profile

Morgan Stanley is a global financial services firm serving corporations, governments, financial institutions, individuals and other investors. The company provides investment banking and advisory services, including mergers and acquisitions advice, equity and debt underwriting, securities sales and trading, and corporate lending.

Through its Wealth Management business, Morgan Stanley offers financial planning, brokerage, investment advisory and banking services to individual investors, businesses and institutions.