Morgan Stanley (MS) Rating Lowered to Hold at Zacks Investment Research
Morgan Stanley (NYSE:MS) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Thursday.
According to Zacks, “Earnings estimates have been stable lately ahead of Morgan Stanley's third-quarter 2016 results. Further, the company has a positive record of earnings surprises in recent quarters. The company’s efforts to offload its non-core assets to lower balance-sheet risks, control expenses and shift focus towards less capital-incentive businesses are commendable. In addition, the company has significantly diversified its footprints and product portfolio. However, equity trading income distress may continue owing to macroeconomic headwinds and lower level of client activity. Further, concerns related to new regulatory requirements and intense pricing competition make us apprehensive. Moreover, increased dependence on structured investment vehicles and commercial mortgage-backed securities may lead to future write-downs if the economy deteriorates.”
MS has been the topic of several other reports. Vetr downgraded Morgan Stanley from a “hold” rating to a “sell” rating and set a $25.26 target price on the stock. in a research note on Monday, July 11th. Berenberg Bank assumed coverage on Morgan Stanley in a research note on Wednesday, July 13th. They issued a “hold” rating and a $29.00 target price on the stock. BMO Capital Markets set a $46.00 target price on Morgan Stanley and gave the company a “buy” rating in a research note on Wednesday, July 20th. UBS AG lifted their target price on Morgan Stanley from $32.00 to $34.00 and gave the company a “buy” rating in a research note on Thursday, July 21st. Finally, Royal Bank Of Canada set a $27.00 target price on Morgan Stanley and gave the company a “buy” rating in a research note on Tuesday, June 28th. Three investment analysts have rated the stock with a sell rating, eleven have assigned a hold rating and fourteen have issued a buy rating to the company’s stock. The stock has an average rating of “Hold” and a consensus target price of $32.41.
Morgan Stanley (NYSE:MS) traded down 0.74% during mid-day trading on Thursday, hitting $32.32. The company had a trading volume of 5,731,208 shares. The company has a 50-day moving average price of $31.55 and a 200 day moving average price of $27.92. The company has a market capitalization of $61.79 billion, a P/E ratio of 14.95 and a beta of 2.09. Morgan Stanley has a 52-week low of $21.16 and a 52-week high of $35.74.
Morgan Stanley (NYSE:MS) last announced its earnings results on Wednesday, July 20th. The financial services provider reported $0.75 earnings per share for the quarter, beating the consensus estimate of $0.59 by $0.16. Morgan Stanley had a return on equity of 6.41% and a net margin of 13.27%. The company had revenue of $8.91 billion for the quarter, compared to the consensus estimate of $8.30 billion. During the same period last year, the business posted $0.79 EPS. The company’s revenue was down 8.6% on a year-over-year basis. On average, analysts forecast that Morgan Stanley will post $2.51 EPS for the current fiscal year.
In other news, insider Jeffrey S. Brodsky sold 19,955 shares of the company’s stock in a transaction dated Thursday, July 21st. The stock was sold at an average price of $28.79, for a total value of $574,504.45. Following the completion of the sale, the insider now owns 123,710 shares of the company’s stock, valued at $3,561,610.90. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, major shareholder Stanley Morgan sold 357 shares of the company’s stock in a transaction dated Tuesday, September 27th. The stock was sold at an average price of $23,750.00, for a total value of $8,478,750.00. The disclosure for this sale can be found here. 0.35% of the stock is owned by insiders.
Large investors have recently modified their holdings of the company. Virginia Retirement System bought a new stake in shares of Morgan Stanley during the first quarter valued at $589,000. Nikko Asset Management Americas Inc. increased its stake in shares of Morgan Stanley by 115.1% in the first quarter. Nikko Asset Management Americas Inc. now owns 20,000 shares of the financial services provider’s stock valued at $501,000 after buying an additional 10,700 shares during the last quarter. NN Investment Partners Holdings N.V. bought a new stake in shares of Morgan Stanley during the first quarter valued at $8,571,000. Bessemer Group Inc. increased its stake in shares of Morgan Stanley by 2.6% in the first quarter. Bessemer Group Inc. now owns 2,929,152 shares of the financial services provider’s stock valued at $73,257,000 after buying an additional 73,422 shares during the last quarter. Finally, Advisor Partners LLC increased its stake in shares of Morgan Stanley by 1.5% in the first quarter. Advisor Partners LLC now owns 24,640 shares of the financial services provider’s stock valued at $616,000 after buying an additional 364 shares during the last quarter. 83.64% of the stock is owned by institutional investors.
About Morgan Stanley
Morgan Stanley is a financial holding company. The Company is a global financial services firm that, through its subsidiaries and affiliates, advises, and originates, trades, manages and distributes capital for, governments, institutions and individuals. Its segments include Institutional Securities, Wealth Management and Investment Management.
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