Morgan Stanley (NYSE:MS) Given Average Recommendation of “Moderate Buy” by Brokerages

Shares of Morgan Stanley (NYSE:MS) have received a consensus recommendation of “Moderate Buy” from the seventeen research firms that are covering the stock, Marketbeat reports. Nine analysts have rated the stock with a hold rating, seven have issued a buy rating and one has given a strong buy rating to the company. The average 12 month price objective among brokers that have issued a report on the stock in the last year is $149.1538.

MS has been the subject of several recent research reports. The Goldman Sachs Group increased their price target on Morgan Stanley from $145.00 to $164.00 and gave the company a “neutral” rating in a report on Friday. Wells Fargo & Company increased their price target on Morgan Stanley from $145.00 to $165.00 and gave the company an “equal weight” rating in a report on Tuesday, September 16th. BMO Capital Markets initiated coverage on Morgan Stanley in a report on Friday. They issued an “outperform” rating and a $180.00 price target for the company. Keefe, Bruyette & Woods raised Morgan Stanley from a “market perform” rating to an “outperform” rating and increased their price target for the company from $127.00 to $160.00 in a report on Wednesday, July 9th. Finally, Evercore ISI increased their price target on Morgan Stanley from $150.00 to $165.00 and gave the company an “outperform” rating in a report on Tuesday.

Insider Buying and Selling

In related news, insider Daniel A. Simkowitz sold 29,000 shares of the stock in a transaction that occurred on Thursday, July 17th. The stock was sold at an average price of $141.13, for a total value of $4,092,770.00. Following the completion of the transaction, the insider directly owned 399,105 shares in the company, valued at approximately $56,325,688.65. This represents a 6.77% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Andrew M. Saperstein sold 43,566 shares of the firm’s stock in a transaction on Thursday, July 17th. The stock was sold at an average price of $140.97, for a total value of $6,141,499.02. Following the transaction, the insider owned 294,250 shares of the company’s stock, valued at approximately $41,480,422.50. This represents a 12.90% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 148,149 shares of company stock valued at $20,841,628 in the last ninety days. Company insiders own 0.19% of the company’s stock.

Institutional Trading of Morgan Stanley

Hedge funds and other institutional investors have recently bought and sold shares of the business. Princeton Global Asset Management LLC raised its stake in Morgan Stanley by 645.8% in the second quarter. Princeton Global Asset Management LLC now owns 179 shares of the financial services provider’s stock valued at $25,000 after buying an additional 155 shares in the last quarter. WFA of San Diego LLC acquired a new stake in Morgan Stanley in the second quarter valued at $28,000. CBIZ Investment Advisory Services LLC raised its stake in Morgan Stanley by 111.0% in the first quarter. CBIZ Investment Advisory Services LLC now owns 211 shares of the financial services provider’s stock valued at $25,000 after buying an additional 111 shares in the last quarter. Compass Financial Services Inc acquired a new stake in Morgan Stanley in the second quarter valued at $32,000. Finally, MorganRosel Wealth Management LLC acquired a new stake in Morgan Stanley in the first quarter valued at $27,000. 84.19% of the stock is currently owned by institutional investors and hedge funds.

Morgan Stanley Price Performance

Shares of Morgan Stanley stock opened at $157.40 on Friday. The business has a 50 day simple moving average of $150.30 and a two-hundred day simple moving average of $134.43. Morgan Stanley has a 12 month low of $94.33 and a 12 month high of $163.98. The stock has a market capitalization of $251.27 billion, a P/E ratio of 17.83, a PEG ratio of 1.93 and a beta of 1.32. The company has a debt-to-equity ratio of 3.30, a current ratio of 0.78 and a quick ratio of 0.78.

Morgan Stanley (NYSE:MS) last announced its earnings results on Wednesday, July 16th. The financial services provider reported $2.13 EPS for the quarter, beating analysts’ consensus estimates of $1.98 by $0.15. Morgan Stanley had a return on equity of 15.20% and a net margin of 13.06%.The business had revenue of $16.79 billion during the quarter, compared to analysts’ expectations of $16.15 billion. During the same quarter in the prior year, the firm earned $1.82 earnings per share. The business’s revenue was up 11.8% compared to the same quarter last year. As a group, analysts predict that Morgan Stanley will post 8.56 EPS for the current fiscal year.

Morgan Stanley Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, August 15th. Investors of record on Thursday, July 31st were issued a $1.00 dividend. This is a boost from Morgan Stanley’s previous quarterly dividend of $0.93. This represents a $4.00 annualized dividend and a dividend yield of 2.5%. The ex-dividend date of this dividend was Thursday, July 31st. Morgan Stanley’s payout ratio is 45.30%.

Morgan Stanley declared that its Board of Directors has authorized a stock repurchase program on Tuesday, July 1st that allows the company to repurchase $20.00 billion in shares. This repurchase authorization allows the financial services provider to repurchase up to 8.9% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its stock is undervalued.

About Morgan Stanley

Morgan Stanley, a financial holding company, provides various financial products and services to corporations, governments, financial institutions, and individuals in the Americas, Europe, the Middle East, Africa, and Asia. It operates through Institutional Securities, Wealth Management, and Investment Management segments.