MORGAN STANLEY (MS) Stock Fundamental Analysis
USA - NYSE:MS - US6174464486 - Common Stock
165.53 USD
+1.67 (+1.02%)
Taking everything into account, MS scores 3 out of 10 in our fundamental rating. MS was compared to 235 industry peers in the Capital Markets industry. Both the profitability and financial health of MS have multiple concerns. MS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year MS was profitable.
MS had a negative operating cash flow in the past year.
In the past 5 years MS has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: MS reported negative operating cash flow in multiple years.
1.2 Ratios
With a Return On Assets value of 1.04%, MS is not doing good in the industry: 65.11% of the companies in the same industry are doing better.
MS has a better Return On Equity (13.07%) than 69.79% of its industry peers.
Looking at the Return On Invested Capital, with a value of 1.34%, MS is doing worse than 65.96% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for MS is significantly below the industry average of 7.62%.
The 3 year average ROIC (1.17%) for MS is below the current ROIC(1.34%), indicating increased profibility in the last year.
| Industry Rank | Sector 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%
1.3 Margins
MS has a Profit Margin (12.51%) which is in line with its industry peers.
In the last couple of years the Profit Margin of MS has declined.
MS's Operating Margin of 17.07% is on the low side compared to the rest of the industry. MS is outperformed by 61.28% of its industry peers.
MS's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 54.42%, MS is in the better half of the industry, outperforming 65.53% of the companies in the same industry.
MS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector 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%
2. Health
2.1 Basic Checks
MS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MS has been increased compared to 5 years ago.
MS has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.08, we must say that MS is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -0.08, MS is doing worse than 77.45% of the companies in the same industry.
A Debt/Equity ratio of 7.45 is on the high side and indicates that MS has dependencies on debt financing.
With a Debt to Equity ratio value of 7.45, MS is not doing good in the industry: 88.09% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.45 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.08 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.29 indicates that MS may have some problems paying its short term obligations.
MS has a Current ratio of 0.29. This is amonst the worse of the industry: MS underperforms 82.55% 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 82.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.29 | ||
| Quick Ratio | 0.29 |
3. Growth
3.1 Past
MS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 45.31%, which is quite impressive.
MS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.88% yearly.
The Revenue has grown by 11.08% in the past year. This is quite good.
The Revenue has been growing by 14.79% on average over the past years. This is quite good.
EPS 1Y (TTM)45.31%
EPS 3Y-0.38%
EPS 5Y8.88%
EPS Q2Q%48.94%
Revenue 1Y (TTM)11.08%
Revenue growth 3Y20.63%
Revenue growth 5Y14.79%
Sales Q2Q%18.47%
3.2 Future
Based on estimates for the next years, MS will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.26% on average per year.
MS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.32% yearly.
EPS Next Y28.4%
EPS Next 2Y16.52%
EPS Next 3Y14.95%
EPS Next 5Y10.26%
Revenue Next Year16.49%
Revenue Next 2Y10.72%
Revenue Next 3Y9.03%
Revenue Next 5Y6.32%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.98, which indicates a correct valuation of MS.
The rest of the industry has a similar Price/Earnings ratio as MS.
MS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.89.
MS is valuated correctly with a Price/Forward Earnings ratio of 15.36.
The rest of the industry has a similar Price/Forward Earnings ratio as MS.
MS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.99.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.98 | ||
| Fwd PE | 15.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MS is valued a bit cheaper than the industry average as 72.77% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 20.67 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MS's earnings are expected to grow with 14.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.6
PEG (5Y)1.91
EPS Next 2Y16.52%
EPS Next 3Y14.95%
5. Dividend
5.1 Amount
MS has a Yearly Dividend Yield of 2.51%.
MS's Dividend Yield is comparable with the industry average which is at 8.34.
Compared to an average S&P500 Dividend Yield of 2.31, MS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
5.2 History
On average, the dividend of MS grows each year by 18.94%, which is quite nice.
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
5.3 Sustainability
45.08% of the earnings are spent on dividend by MS. This is a bit on the high side, but may be sustainable.
The dividend of MS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP45.08%
EPS Next 2Y16.52%
EPS Next 3Y14.95%
NYSE:MS (10/27/2025, 2:30:53 PM)
165.53
+1.67 (+1.02%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners62.51%
Inst Owner Change-0.17%
Ins Owners0.2%
Ins Owner Change-0.03%
Market Cap263.36B
Revenue(TTM)116.83B
Net Income(TTM)14.14B
Analysts73.13
Price Target151.26 (-8.62%)
Short Float %1.25%
Short Ratio2.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
Yearly Dividend3.8
Dividend Growth(5Y)18.94%
DP45.08%
Div Incr Years0
Div Non Decr Years0
Ex-Date
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)1.82%
PT rev (3m)4.62%
EPS NQ rev (1m)2.26%
EPS NQ rev (3m)5.62%
EPS NY rev (1m)11.22%
EPS NY rev (3m)14.95%
Revenue NQ rev (1m)2.28%
Revenue NQ rev (3m)5.44%
Revenue NY rev (1m)4.34%
Revenue NY rev (3m)6.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.98 | ||
| Fwd PE | 15.36 | ||
| P/S | 2.33 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.43 | ||
| P/tB | 3.09 | ||
| EV/EBITDA | 20.67 |
EPS(TTM)9.75
EY5.89%
EPS(NY)10.78
Fwd EY6.51%
FCF(TTM)-13.16
FCFYN/A
OCF(TTM)-11.11
OCFYN/A
SpS71.04
BVpS68
TBVpS53.59
PEG (NY)0.6
PEG (5Y)1.91
Graham Number122.14
Profitability
| Industry Rank | Sector 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%
ROICexgc growth 3Y-7.03%
ROICexgc 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 Rank | Sector 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 | -0.08 |
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)45.31%
EPS 3Y-0.38%
EPS 5Y8.88%
EPS Q2Q%48.94%
EPS Next Y28.4%
EPS Next 2Y16.52%
EPS Next 3Y14.95%
EPS Next 5Y10.26%
Revenue 1Y (TTM)11.08%
Revenue growth 3Y20.63%
Revenue growth 5Y14.79%
Sales Q2Q%18.47%
Revenue Next Year16.49%
Revenue Next 2Y10.72%
Revenue Next 3Y9.03%
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%
MORGAN STANLEY / MS FAQ
Can you provide the ChartMill fundamental rating for MORGAN STANLEY?
ChartMill assigns a fundamental rating of 3 / 10 to MS.
What is the valuation status for MS stock?
ChartMill assigns a valuation rating of 4 / 10 to MORGAN STANLEY (MS). This can be considered as Fairly Valued.
What is the profitability of MS stock?
MORGAN STANLEY (MS) has a profitability rating of 3 / 10.
Can you provide the financial health for MS stock?
The financial health rating of MORGAN STANLEY (MS) is 0 / 10.
Can you provide the dividend sustainability for MS stock?
The dividend rating of MORGAN STANLEY (MS) is 4 / 10 and the dividend payout ratio is 45.08%.