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MORGAN STANLEY (MS) Stock Fundamental Analysis

USA - NYSE:MS - US6174464486 - Common Stock

156.62 USD
+0.23 (+0.15%)
Last: 9/15/2025, 3:57:57 PM
Fundamental Rating

3

MS gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. Both the profitability and financial health of MS have multiple concerns. MS is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

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3

1. Profitability

1.1 Basic Checks

MS had positive earnings in the past year.
In the past year MS has reported a negative cash flow from operations.
In the past 5 years MS has always been profitable.
In multiple years MS reported negative operating cash flow during the last 5 years.
MS Yearly Net Income VS EBIT VS OCF VS FCFMS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20B -20B 40B

1.2 Ratios

Looking at the Return On Assets, with a value of 1.04%, MS is doing worse than 64.56% of the companies in the same industry.
MS's Return On Equity of 13.07% is fine compared to the rest of the industry. MS outperforms 70.89% of its industry peers.
Looking at the Return On Invested Capital, with a value of 1.34%, MS is doing worse than 67.09% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MS is significantly below the industry average of 7.61%.
The last Return On Invested Capital (1.34%) for MS is above the 3 year average (1.17%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 1.04%
ROE 13.07%
ROIC 1.34%
ROA(3y)0.89%
ROA(5y)0.97%
ROE(3y)10.46%
ROE(5y)11.1%
ROIC(3y)1.17%
ROIC(5y)1.28%
MS Yearly ROA, ROE, ROICMS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

1.3 Margins

Looking at the Profit Margin, with a value of 12.51%, MS is in line with its industry, outperforming 44.30% of the companies in the same industry.
MS's Profit Margin has declined in the last couple of years.
The Operating Margin of MS (17.07%) is worse than 62.45% of its industry peers.
In the last couple of years the Operating Margin of MS has declined.
With a decent Gross Margin value of 54.42%, MS is doing good in the industry, outperforming 64.56% of the companies in the same industry.
In the last couple of years the Gross Margin of MS has declined.
Industry RankSector Rank
OM 17.07%
PM (TTM) 12.51%
GM 54.42%
OM growth 3Y-20.12%
OM growth 5Y-4.82%
PM growth 3Y-20.6%
PM growth 5Y-5.48%
GM growth 3Y-16.51%
GM growth 5Y-5.78%
MS Yearly Profit, Operating, Gross MarginsMS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60 80

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0

2. Health

2.1 Basic Checks

MS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, MS has more shares outstanding
MS has a worse debt/assets ratio than last year.
MS Yearly Shares OutstandingMS Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B
MS Yearly Total Debt VS Total AssetsMS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200B 400B 600B 800B 1T

2.2 Solvency

MS has an Altman-Z score of -0.09. This is a bad value and indicates that MS is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of MS (-0.09) is worse than 75.11% of its industry peers.
A Debt/Equity ratio of 7.45 is on the high side and indicates that MS has dependencies on debt financing.
The Debt to Equity ratio of MS (7.45) is worse than 87.76% of its industry peers.
Industry RankSector Rank
Debt/Equity 7.45
Debt/FCF N/A
Altman-Z -0.09
ROIC/WACCN/A
WACCN/A
MS Yearly LT Debt VS Equity VS FCFMS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100B 200B

2.3 Liquidity

A Current Ratio of 0.29 indicates that MS may have some problems paying its short term obligations.
MS has a worse Current ratio (0.29) than 82.28% of its industry peers.
A Quick Ratio of 0.29 indicates that MS may have some problems paying its short term obligations.
MS has a Quick ratio of 0.29. This is amonst the worse of the industry: MS underperforms 81.86% of its industry peers.
Industry RankSector Rank
Current Ratio 0.29
Quick Ratio 0.29
MS Yearly Current Assets VS Current LiabilitesMS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200B 400B 600B

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6

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 42.19% over the past year.
The Earnings Per Share has been growing by 8.88% on average over the past years. This is quite good.
MS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.36%.
MS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.79% yearly.
EPS 1Y (TTM)42.19%
EPS 3Y-0.38%
EPS 5Y8.88%
EPS Q2Q%17.03%
Revenue 1Y (TTM)10.36%
Revenue growth 3Y20.63%
Revenue growth 5Y14.79%
Sales Q2Q%11.81%

3.2 Future

The Earnings Per Share is expected to grow by 10.26% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.32% on average over the next years.
EPS Next Y15.42%
EPS Next 2Y11.49%
EPS Next 3Y10.88%
EPS Next 5Y10.26%
Revenue Next Year11.64%
Revenue Next 2Y8.04%
Revenue Next 3Y6.8%
Revenue Next 5Y6.32%

3.3 Evolution

The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
MS Yearly Revenue VS EstimatesMS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 20B 40B 60B 80B 100B
MS Yearly EPS VS EstimatesMS Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 5 10 15

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3

4. Valuation

4.1 Price/Earnings Ratio

MS is valuated rather expensively with a Price/Earnings ratio of 17.74.
Compared to the rest of the industry, the Price/Earnings ratio of MS is on the same level as its industry peers.
When comparing the Price/Earnings ratio of MS to the average of the S&P500 Index (27.30), we can say MS is valued slightly cheaper.
With a Price/Forward Earnings ratio of 15.87, MS is valued correctly.
MS's Price/Forward Earnings ratio is in line with the industry average.
MS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.73.
Industry RankSector Rank
PE 17.74
Fwd PE 15.87
MS Price Earnings VS Forward Price EarningsMS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, MS is valued a bit cheaper than the industry average as 73.00% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 20.22
MS Per share dataMS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60

4.3 Compensation for Growth

The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.15
PEG (5Y)2
EPS Next 2Y11.49%
EPS Next 3Y10.88%

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4

5. Dividend

5.1 Amount

MS has a Yearly Dividend Yield of 2.41%.
MS's Dividend Yield is comparable with the industry average which is at 7.96.
MS's Dividend Yield is comparable with the S&P500 average which is at 2.38.
Industry RankSector Rank
Dividend Yield 2.41%

5.2 History

The dividend of MS is nicely growing with an annual growth rate of 18.94%!
MS has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)18.94%
Div Incr Years0
Div Non Decr Years0
MS Yearly Dividends per shareMS Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 2 3

5.3 Sustainability

MS pays out 45.08% of its income as dividend. This is a bit on the high side, but may be sustainable.
MS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP45.08%
EPS Next 2Y11.49%
EPS Next 3Y10.88%
MS Yearly Income VS Free CF VS DividendMS Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20B -20B
MS Dividend Payout.MS Dividend Payout, showing the Payout Ratio.MS Dividend Payout.PayoutRetained Earnings

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MORGAN STANLEY

NYSE:MS (9/15/2025, 3:57:57 PM)

156.62

+0.23 (+0.15%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)07-16 2025-07-16/bmo
Earnings (Next)10-15 2025-10-15/bmo
Inst Owners63.02%
Inst Owner Change-1.87%
Ins Owners0.2%
Ins Owner Change-0.04%
Market Cap250.02B
Analysts73.13
Price Target148.56 (-5.15%)
Short Float %1.26%
Short Ratio2.89
Dividend
Industry RankSector Rank
Dividend Yield 2.41%
Yearly Dividend3.8
Dividend Growth(5Y)18.94%
DP45.08%
Div Incr Years0
Div Non Decr Years0
Ex-Date07-31 2025-07-31 (1)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.13%
Min EPS beat(2)5.77%
Max EPS beat(2)14.48%
EPS beat(4)4
Avg EPS beat(4)15.64%
Min EPS beat(4)5.77%
Max EPS beat(4)27.07%
EPS beat(8)7
Avg EPS beat(8)10.97%
EPS beat(12)10
Avg EPS beat(12)7.76%
EPS beat(16)13
Avg EPS beat(16)7.12%
Revenue beat(2)2
Avg Revenue beat(2)2.67%
Min Revenue beat(2)1.43%
Max Revenue beat(2)3.91%
Revenue beat(4)4
Avg Revenue beat(4)3.45%
Min Revenue beat(4)1.43%
Max Revenue beat(4)4.78%
Revenue beat(8)6
Avg Revenue beat(8)1.67%
Revenue beat(12)9
Avg Revenue beat(12)12.16%
Revenue beat(16)12
Avg Revenue beat(16)9.8%
PT rev (1m)1.64%
PT rev (3m)15.31%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.66%
EPS NY rev (1m)3.33%
EPS NY rev (3m)2.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.12%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)2.37%
Valuation
Industry RankSector Rank
PE 17.74
Fwd PE 15.87
P/S 2.21
P/FCF N/A
P/OCF N/A
P/B 2.31
P/tB 2.93
EV/EBITDA 20.22
EPS(TTM)8.83
EY5.64%
EPS(NY)9.87
Fwd EY6.3%
FCF(TTM)-13.12
FCFYN/A
OCF(TTM)-11.07
OCFYN/A
SpS70.8
BVpS67.77
TBVpS53.41
PEG (NY)1.15
PEG (5Y)2
Profitability
Industry RankSector Rank
ROA 1.04%
ROE 13.07%
ROCE 3.03%
ROIC 1.34%
ROICexc 1.49%
ROICexgc 1.57%
OM 17.07%
PM (TTM) 12.51%
GM 54.42%
FCFM N/A
ROA(3y)0.89%
ROA(5y)0.97%
ROE(3y)10.46%
ROE(5y)11.1%
ROIC(3y)1.17%
ROIC(5y)1.28%
ROICexc(3y)1.31%
ROICexc(5y)1.45%
ROICexgc(3y)1.39%
ROICexgc(5y)1.53%
ROCE(3y)2.71%
ROCE(5y)2.95%
ROICexcg growth 3Y-7.03%
ROICexcg growth 5Y1.53%
ROICexc growth 3Y-6.98%
ROICexc growth 5Y1.26%
OM growth 3Y-20.12%
OM growth 5Y-4.82%
PM growth 3Y-20.6%
PM growth 5Y-5.48%
GM growth 3Y-16.51%
GM growth 5Y-5.78%
F-Score5
Asset Turnover0.08
Health
Industry RankSector Rank
Debt/Equity 7.45
Debt/FCF N/A
Debt/EBITDA 33.05
Cap/Depr 64.3%
Cap/Sales 2.89%
Interest Coverage 0.4
Cash Conversion N/A
Profit Quality N/A
Current Ratio 0.29
Quick Ratio 0.29
Altman-Z -0.09
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)74.75%
Cap/Depr(5y)63.46%
Cap/Sales(3y)3.81%
Cap/Sales(5y)3.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.19%
EPS 3Y-0.38%
EPS 5Y8.88%
EPS Q2Q%17.03%
EPS Next Y15.42%
EPS Next 2Y11.49%
EPS Next 3Y10.88%
EPS Next 5Y10.26%
Revenue 1Y (TTM)10.36%
Revenue growth 3Y20.63%
Revenue growth 5Y14.79%
Sales Q2Q%11.81%
Revenue Next Year11.64%
Revenue Next 2Y8.04%
Revenue Next 3Y6.8%
Revenue Next 5Y6.32%
EBIT growth 1Y35.01%
EBIT growth 3Y-3.64%
EBIT growth 5Y9.26%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y52.7%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y56.99%
OCF growth 3Y-65.77%
OCF growth 5Y-49.33%