- Morgan Stanley‘s Q1 net revenue reached $17.74 billion, surpassing the estimate of $16.56 billion.
- Equities sales and trading revenue saw a significant increase of 45% year-over-year, totaling $4.13 billion, exceeding the estimated $3.42 billion.
- Institutional Investment Banking revenue came in at $1.56 billion, slightly above the estimate of $1.51 billion.
- Fixed Income Underwriting revenue was strong at $677 million, significantly above the estimate of $552.6 million.
- Earnings per share (EPS) rose to $2.60.
- Total deposits increased by 1.5% quarter-over-quarter, reaching $381.56 billion, slightly above the estimate.
- Non-interest expenses grew by 12% year-over-year to $12.06 billion, surpassing the estimated $11.68 billion.
- Net interest income exceeded expectations at $2.35 billion, compared to an estimate of $2.24 billion.
- Return on equity stood at 17.4%, outperforming the estimated 15.1%.
- Wealth Management pretax margin was slightly below estimates at 26.6%.
- The provision for credit losses was higher than expected at $135 million, compared to an estimate of $71.2 million.
- The effective tax rate was 21.2%, lower than the estimated 23%.
- Assets under management grew by 9.4% year-over-year to $1.65 trillion, slightly below the estimate of $1.66 trillion.
- Equity underwriting revenues decreased year-over-year due to market uncertainty.
- Morgan Stanley‘s shares rose by 2.2% to $108.92.
A look at Morgan Stanley Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores for Morgan Stanley, the company’s long-term outlook appears to be generally positive. With a strong dividend score of 4 out of 5, investors may find stability and potential income from investing in the company. Additionally, the growth score of 3 suggests that there is room for expansion and development within the business. Although the resilience score is on the lower side at 2, indicating some vulnerability, the momentum score of 3 shows that the company may have some positive trends driving it forward. Overall, Morgan Stanley, a global financial services company, seems to have a mix of factors influencing its future performance.
Morgan Stanley, a bank holding company, offers a range of financial services worldwide. Its operations include a global securities business catering to individual and institutional investors, as well as investment banking clients. The company also runs a global asset management business, providing diverse services to its clients. With varying Smart Scores across different factors like value, dividend, growth, resilience, and momentum, Morgan Stanley‘s long-term performance could show a blend of strengths and areas for improvement. Investors may find potential opportunities in the company’s offerings, supported by a mix of different performance indicators.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
