olivlawolivlaw

olivLaw · US equity research

Morgan Stanley MS

Security Brokers, Dealers & Flotation Companies · SIC 6211 · Vertical: Security Brokers, Dealers & Flotation Companies (SIC 6211)

186.09USD+0.19% · 1 dayClose 03 Nov 2026

Morgan Stanley is a global financial services firm providing investment banking, trading, wealth management and investment management to governments, institutions and individuals. In the third quarter of 2026 it reported net revenues of $20.3 billion and a return on tangible common equity of 22.6%, showing the strength of its integrated model.

At the close of 03 Nov 2026, Morgan Stanley (MS) stock was 186.09 USD (+0.19% on the day), with market capitalisation 292.3 bn USD, P/E 14.9 on diluted EPS of 12.46 USD over the last 12 months, dividend yield 2.15%, beta 1.41, 52-week range 154.37–228.55 USD. Latest reported quarter (Q2 2026): net income of 5.6 bn USD (+57.7% YoY), diluted EPS 3.46 USD.

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
292.3 bn USD
shares as of 31 Jul 2026
P/E (TTM)
14.9
Diluted EPS TTM 12.46 · TTM to 30 Jun 2026
E/P (TTM)
6.70%
TTM to 30 Jun 2026
Dividend yield
2.15%
DPS 12m 4.00
Beta (2y)
1.41
Volatility (1y) 28%
52-week range
154.37228.55

Price history

Loading chart…

Technical reading

RSI (14)
46.0
neutral
Bollinger (20, 2)
177.73 – 192.67
in the upper half of the band · %B 0.56 · band width 8.1%
SMA 50 / 200
196.94 / 194.29
mixed trend
MACD (12, 26, 9)
-2.62 / -3.80
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyS&P 500vs S&P 500Vertical median
1 month−2.2%−2.0%−0.2 pp—
3 months−14.3%−2.2%−12.1 pp—
6 months−1.7%+4.3%−5.9 pp—
Year to date+4.8%+10.6%−5.7 pp—
1 year+13.7%+10.5%+3.2 pp−16.4%
3 years+144.0%+73.7%+70.4 pp+54.2%
5 years+86.5%+61.7%+24.8 pp—
Max drawdown (1y)
−21.9%
15 Jul 2026 → 19 Oct 2026
Max drawdown (5y)
−35.3%
09 Feb 2022 → 27 Oct 2023
Compound annual growth (5y)
+13.3%
S&P 500 +10.1%

Price returns, dividends excluded.

Quarterly results

Latest quarter: Q2 2026 · 30 Jun 2026

Revenue
unavailable USD
unavailable YoY
Net income
5.6 bn USD
+57.7% YoY
Diluted EPS
3.46
+62.4% YoY
net / operating
unavailable / unavailable

Quarterly statements · USD

Fiscal yearQ3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26
Depreciation & amortisation1.3 bn ≈1.6 bn865.0 m1.3 bn ≈1.3 bn ≈1.1 bn714.0 m1.2 bn ≈
Pre-tax income4.2 bn4.9 bn5.5 bn4.6 bn6.0 bn5.8 bn7.0 bn7.3 bn
Income tax995.0 m1.2 bn1.2 bn1.0 bn1.4 bn1.3 bn1.4 bn1.7 bn
Net income3.2 bn3.7 bn4.3 bn3.5 bn4.6 bn4.4 bn5.6 bn5.6 bn
Diluted EPS1.882.31 ≈2.602.132.802.77 ≈3.433.46
Operating cash flow-17.3 bn ≈11.8 bn-24.0 bn11.8 bn ≈-3.3 bn ≈-2.4 bn-7.1 bn-2.7 bn ≈
Dividends paid1.6 bn ≈1.6 bn1.6 bn1.6 bn ≈1.7 bn ≈1.7 bn1.7 bn1.7 bn ≈

≈ derived quarter (cumulative difference / share-days average)

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Today's P/E sits at the 74 percentile of its own 43-quarter history (min 7.1, median 12.7, max 17.8; quarters with earnings only).

Fiscal years

Fiscal year20182019202020212022202320242025
Revenueunavailableunavailableunavailableunavailableunavailableunavailableunavailableunavailable
Revenue YoYunavailableunavailableunavailableunavailableunavailableunavailableunavailableunavailable
Net income8.7 bn9.0 bn11.0 bn15.0 bn11.0 bn9.1 bn13.4 bn16.9 bn
Net income YoY+43.2%+3.4%+21.6%+36.7%−26.6%−17.6%+47.4%+25.9%
Diluted EPS4.735.196.468.036.155.187.9510.21
Diluted EPS YoY+54.1%+9.7%+24.5%+24.3%−23.4%−15.8%+53.5%+28.4%
net %unavailableunavailableunavailableunavailableunavailableunavailableunavailableunavailable
Free cash flowunavailableunavailableunavailableunavailableunavailableunavailableunavailableunavailable

Reported results vs expectations

Loading…

Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
111.7 bn USD
Financial debt
341.7 bn USD
Net debt
230.0 bn USD
Equity
112.7 bn USD
Total assets
1,420.3 bn USD
Debt / equity
3.03x
Current ratio
unavailable
ROE
15.5%
ROA
1.3%
FCF margin
unavailable

Financial statements (source on every figure)

Revenue and net income (USD)

Income statement · USD

Depreciation & amortisation
2023
4.3 bn
2024
5.2 bn
2025
4.7 bn

SEC (XBRL)· 19 Feb 2026verified

Interest expense
2023
42.1 bn
2024
—
2025
—

SEC (XBRL)· 22 Feb 2024verified

Pre-tax income
2023
11.8 bn
2024
17.6 bn
2025
22.0 bn

SEC (XBRL)· 19 Feb 2026verified

Income tax
2023
2.6 bn
2024
4.1 bn
2025
4.9 bn

SEC (XBRL)· 19 Feb 2026verified

Net income
2023
9.1 bn
2024
13.4 bn
2025
16.9 bn

SEC (XBRL)· 19 Feb 2026verified

Diluted EPS
2023
5.18
2024
7.95
2025
10.21

SEC (XBRL)· 19 Feb 2026verified

Weighted average diluted shares
2023
1.6 bn
2024
1.6 bn
2025
1.6 bn

SEC (XBRL)· 19 Feb 2026verified

Dividend per share
2023
3.25
2024
3.55
2025
3.85

SEC (XBRL)· 19 Feb 2026verified

Balance sheet · USD

Cash
2023
89.2 bn
2024
105.4 bn
2025
111.7 bn

SEC (XBRL)· 19 Feb 2026verified

Goodwill
2023
16.7 bn
2024
16.7 bn
2025
16.7 bn

SEC (XBRL)· 19 Feb 2026verified

Intangibles (excl. goodwill)
2023
7.1 bn
2024
6.5 bn
2025
6.0 bn

SEC (XBRL)· 19 Feb 2026verified

Total assets
2023
1,193.7 bn
2024
1,215.1 bn
2025
1,420.3 bn

SEC (XBRL)· 19 Feb 2026verified

Short-term debt
2023
—
2024
—
2025
—

SEC (XBRL)· 24 Feb 2022verified

Long-term debt
2023
260.5 bn
2024
284.3 bn
2025
341.7 bn

SEC (XBRL)· 19 Feb 2026verified

Total liabilities
2023
1,093.7 bn
2024
1,109.6 bn
2025
1,307.6 bn

SEC (XBRL)· 19 Feb 2026verified

Equity
2023
100.0 bn
2024
105.4 bn
2025
112.7 bn

SEC (XBRL)· 19 Feb 2026verified

Cash flow · USD

Operating cash flow
2023
-33.5 bn
2024
1.4 bn
2025
-17.9 bn

SEC (XBRL)· 19 Feb 2026verified

Investing cash flow
2023
-3.1 bn
2024
-29.5 bn
2025
-46.8 bn

SEC (XBRL)· 19 Feb 2026verified

Financing cash flow
2023
-2.7 bn
2024
46.8 bn
2025
67.8 bn

SEC (XBRL)· 19 Feb 2026verified

Dividends paid
2023
5.8 bn
2024
6.1 bn
2025
6.6 bn

SEC (XBRL)· 19 Feb 2026verified

Computed indicators

Growth

Revenue growth (YoY)
5.5%
computed by olivLawFY 2014
Revenue CAGR 3Y
2.1%
computed by olivLawFY 2011 → FY 2014
Revenue CAGR 5Y
8.0%
computed by olivLawFY 2009 → FY 2014
EBIT growth (YoY)
unavailable
input data missing
Net income growth (YoY)
18.2%
computed by olivLawFY 2014
Net income CAGR 3Y
-5.5%
computed by olivLawFY 2011 → FY 2014
Net income CAGR 5Y
20.8%
computed by olivLawFY 2009 → FY 2014
EPS growth (YoY)
17.6%
computed by olivLawFY 2014
EPS CAGR 3Y
9.2%
computed by olivLawFY 2011 → FY 2014
EPS CAGR 5Y
unavailable
the base of the ratio is not positive
FCF growth (YoY)
unavailable
input data missing

Profitability

Gross margin
unavailable
input data missing
EBITDA margin
unavailable
input data missing
EBIT margin
unavailable
input data missing
Net margin
unavailable
input data missing
FCF margin
unavailable
input data missing

Returns

ROE
18.0%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
ROA
1.3%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
ROIC
unavailable
input data missing
ROCE
unavailable
input data missing
Payout ratio (EPS)
32.1%
computed by olivLawTTM to 30 Jun 2026
Payout ratio (FCF)
unavailable
input data missing

Balance sheet

Net debt
223.0 bn USD
computed by olivLawbalance sheet at 30 Jun 2026
Net debt / EBITDA
unavailable
input data missing
Debt / equity
3.3x
computed by olivLawbalance sheet at 30 Jun 2026
Interest coverage
unavailable
the reported interest expense is far older than the latest period (the filer changed its XBRL tag): a stale figure is not used

Liquidity

Current ratio
unavailable
input data missing
Quick ratio
unavailable
input data missing
Cash ratio
unavailable
input data missing

Cash

Operating cash flow
-15.6 bn USD
computed by olivLawTTM to 30 Jun 2026
Capital expenditure
unavailable
input data missing
Free cash flow
unavailable
input data missing
FCF conversion
unavailable
input data missing
Cash conversion
unavailable
input data missing

Efficiency

Days sales outstanding
unavailable
input data missing
Days inventory outstanding
unavailable
input data missing
Days payables outstanding
unavailable
input data missing
Cash conversion cycle
unavailable
input data missing

Market and valuation

Market capitalisation
292.3 bn USD
computed by olivLawbalance sheet at 30 Jun 2026
Enterprise value
515.3 bn USD
computed by olivLawbalance sheet at 30 Jun 2026
Market cap / net income TTM
14.5x
computed by olivLawTTM to 30 Jun 2026
P/E (TTM)
14.9x
computed by olivLawTTM to 30 Jun 2026
Earnings yield
6.7%
computed by olivLawTTM to 30 Jun 2026
P/B
2.5x
computed by olivLawbalance sheet at 30 Jun 2026
P/S
unavailable
input data missing
EV/EBITDA
unavailable
input data missing
EV/EBIT
unavailable
input data missing
EV/Sales
unavailable
input data missing
P/FCF
unavailable
input data missing
FCF yield
unavailable
input data missing
Dividend yield
2.1%
computed by olivLawTTM to 30 Jun 2026
Shareholder yield (distributions)
2.3%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026

1 indicators that do not apply to the sector.

Valuation

olivLaw classification

Insufficient data
What is missing
  • indicators available: 4 of at least 6
  • score weight coverage: 33.3% of at least 60%

A scoring methodology on indicators and valuation, not investment advice.

Closing price

186.09 USD

03 Nov 2026Source: olivLaw, closing series

Market cap: 292.3 bn USD

Key indicators

Market capitalisation
292.3 bn USD
computed by olivLawbalance sheet at 30 Jun 2026
P/E (TTM)
14.9x
computed by olivLawTTM to 30 Jun 2026
P/B
2.5x
computed by olivLawbalance sheet at 30 Jun 2026
EV/EBITDA
unavailable
input data missing
ROE
18.0%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Net margin
unavailable
input data missing
Revenue growth (YoY)
5.5%
computed by olivLawFY 2014
Dividend yield
2.1%
computed by olivLawTTM to 30 Jun 2026

Coverage and freshness

20/37 reporting lines present
Latest full fiscal year: 2014
Latest reported period: 30 Jun 2026
Latest balance sheet date: 30 Jun 2026
Share count (cover of the latest filing), as of: 31 Jul 2026
Source: SEC (XBRL)published 04 Aug 2026
verified 2651derived 126

Score by group

33% · Insufficient data

Estimated value range

Low
90.41
USD per share
Mid
116.72
USD per share
High
155.65
USD per share
Price: 186.09 USD
The price is above the range
Potential to the central value: -37.3% (value / price − 1)
Margin of safety: -59.4% (1 − price / value)
Agreement between methods: low · 2 methods used · 2 independent bases

The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 50.59 – 243.27 USD.

Valuation assumptions are editorial choices, not measured; beta is not measured.

Method ranges (USD per share)

— — Mid · ▏ Price

Valuation methods

  • DCF (discounted cash flow)unavailable · input data missing
  • Peers: EV/EBITDAunavailable · input data missing
  • Peers: P/E130.22 – 243.27 (Mid 175.41)
    17 companies used · median multiple 14.1x · quartiles 10.4x – 19.5x
    BLK, COHN, ETOR, HOOD, IBKR, JEF, MIAX, MKTX, OPY, PIPR, RJF, SCHW, SEIC, SF, TIGR, VIRT, WT
  • Dividend discount (DDM)50.59 – 68.04 (Mid 58.03)
Multiple comparisons use the SIC vertical: Security Brokers, Dealers & Flotation Companies (SIC 6211)

Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.

Assumptions (illustrative, editorial)

Risk-free rate
4.3%
Equity risk premium
5.0%
Beta (default)
1.00
Cost of equity
9.3%
Terminal growth
2.5%

Factor scorecard

Insufficient data

Minimum-evidence gate: indicators available: 4 of at least 6; score weight coverage: 33.3% of at least 60%

FactorValueScoreWeight used
ROIC · Qualityunavailableunavailable—
Net margin · Qualityunavailableunavailable—
FCF conversion · Qualityunavailableunavailable—
Revenue CAGR 3Y · Growth2.1%17 (on a fixed band)25%
EPS CAGR 3Y · Growth9.2%61 (on a fixed band)25%
Net debt / EBITDA · Balance sheetunavailableunavailable—
Interest coverage · Balance sheetunavailableunavailable—
Current ratio · Balance sheetunavailableunavailable—
P/E (TTM) · Valuation14.9x53 (vs peers)31%
EV/EBITDA · Valuationunavailableunavailable—
FCF yield · Valuationunavailableunavailable—
Shareholder yield (distributions) · Returns2.3%33 (on a fixed band)19%
Payout ratio (FCF) · Returnsunavailableunavailable—

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet· partialunavailable · 0/3 factors with a value
  • Growth39/100 · 2/2 factors with a value
  • Quality· partialunavailable · 0/3 factors with a value
  • Returns· partial33/100 · 1/2 factors with a value
  • Valuation· partial53/100 · 1/3 factors with a value

A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

Memo

MORGAN STANLEY (MS). Latest full fiscal year: 2014; data up to 2026-06-30.

Figures computed from the financial statements: YoY growth 5.5%; ROE 18.0%.

The estimated value range is 90.41–155.65 USD per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 116.72 USD, the price of 186.09 USD leaves a potential of -37.3% (value / price − 1) and a margin of safety of -59.4% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

Insufficient data for a verdict (indicators available: 4 of at least 6; score weight coverage: 33.3% of at least 60%).

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.

What contradicts it

  • Revenue CAGR 3Y: 2.1%
  • The price is above the estimated value range
  • The valuation methods diverge

Not assessed (insufficient data or a ratio without meaning): ROIC, Net margin, FCF conversion, Net debt / EBITDA, Interest coverage, Current ratio, EV/EBITDA, FCF yield, Payout ratio (FCF).

Versus the vertical median

Security Brokers, Dealers & Flotation Companies (SIC 6211) · same industry (4-digit SIC) · compared with 29 companies

The size band was not applied: too few companies would have remained; the vertical includes much smaller or larger companies.

Multiples and returns vs the median

P/E
14.9x
vertical median 16.1x
below median (−7.1%)
EV/EBITDA
—
vertical median 14.1x
P/S
—
vertical median 1.8x
P/B
2.5x
vertical median 1.6x
above median (+59.1%)
ROE
18.0%
vertical median 18.5%
at median
Net margin
—
vertical median 13.5%
EBIT margin
—
vertical median 22.1%
Revenue YoY
5.5%
vertical median 17.5%
below median (−68.7%)
Net debt/EBITDA
—
vertical median -0.3x
Dividend yield
2.1%
vertical median 1.9%
above median (+14.1%)

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
MSMorgan Stanley292.3 bn14.918.0%—unavailable+14% / +144%
BLKBlackRock, Inc.179.9 bn28.012.3%24.1%+89.3%+11% / +55%
SCHWSchwab Charles Corp154.4 bn16.120.3%38.8%+22.0%−4% / +46%
RJFRaymond James Financial, Inc.31.1 bn14.118.5%13.6%+6.6%+3% / +54%
SEICSei Investments Company12.9 bn18.928.9%28.1%+8.1%+34% / +85%
FRHCFreedom Holding Corp.11.9 bn73.811.2%6.5%+9.3%+42% / +129%
JEFJefferies Financial Group Inc.10.5 bn11.58.6%7.5%+2.9%−11% / +44%
MKTXMarketaxess Holdings Inc5.8 bn19.523.3%35.2%+3.6%+1% / −31%
SFStifel Financial Corp5.1 bn10.316.4%14.3%+6.7%−10% / +79%
IBKRInteractive Brokers Group, Inc.5.0 bn17.191.3%179.4%+23.4%+20% / +300%
PIPRPiper Sandler Companies5.0 bn6.023.6%14.5%+24.3%−16% / +82%
MIAXMiami International Holdings, Inc.3.5 bn12.528.9%19.8%+19.6%−23% / unavailable
WTWisdomTree, Inc.3.0 bn38.218.7%13.3%+15.4%+81% / +208%
JSMNavient Corporation1.5 bn—-2.0%—−15.6%−21% / −19%
MTCMmtec, Inc.534.8 m—-272.7%-6,944.3%−56.8%+97% / −42%
SIEBSiebert Financial Corp.75.2 m—-1.3%-1.1%+12.3%−43% / −3%
DOMHDominari Holdings Inc.39.8 m—-315.4%-51.6%+487.0%−65% / −28%
LGHLLion Group Holding Ltd.34.3 m—-27.4%-52.8%unavailable−100% / −100%
COHNCohen & Co Inc.33.0 m1.933.3%5.6%+246.2%−33% / +66%
AXGSolowin Holdings, Ltd.26.5 m—-88.9%-47.4%+895.0%−53% / −38%
GLXYGalaxy Digital Inc.1.4 k—-16.7%-0.5%+41.8%−47% / unavailable
HOODRobinhood Markets, Inc.040.321.3%39.0%+51.6%−32% / +893%
VIRTVirtu Financial, Inc.—8.733.6%13.5%+26.2%+48% / +195%
TIGRUp Fintech Holding Limited—63.722.6%28.0%+56.3%−55% / −11%
FUTUFutu Holdings Ltd075.933.3%49.6%+67.8%−42% / +82%

1- and 3-year price returns: for MS from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Scenarios are not available. input data missing

AI analysis

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

In brief

Morgan Stanley is a global financial services firm providing investment banking, trading, wealth management and investment management to governments, institutions and individuals. In the third quarter of 2026 it reported net revenues of $20.3 billion and a return on tangible common equity of 22.6%, showing the strength of its integrated model 2.

SWOT

Strengths

  • The integrated platform, linking investment banking, wealth management and investment management, offers diversification and access to a large volume of client assets 12.
  • High return on tangible common equity and a solid capital position indicate financial discipline and capacity to invest 2.
  • A global presence in many financial centers and a broad workforce give advantages in reputation and client access 1.

Weaknesses

  • Trading and investment banking revenues can be volatile, and activity depends on market conditions 2.
  • Compliance costs and regulatory restrictions can reduce flexibility in some activities compared with less regulated competitors 1.
  • Technology and compensation costs rise with revenues, which could limit margins if growth slows 2.

Opportunities

  • Growth in net asset flows in wealth management could expand recurring fee revenues 2.
  • Investment banking activity could benefit from a revival of public offerings and mergers if market conditions improve 2.
  • New technologies, including tokenization, could create new products for institutional and retail clients 1.

Threats

  • Competition from digital firms and technology platforms may pressure prices and market share 1.
  • Changes to capital and liquidity rules could affect operating costs and the ability to distribute capital 1.
  • Electronic trading and automation could reduce revenues from traditional trading activities 1.

Risks

  • Regulatory riskhigh

    The firm is subject to extensive supervision by US and other national authorities, and regulatory changes could alter its business model 1.

  • Pricing competition riskmedium

    Fee pressure and the emergence of digital competitors could reduce revenues in some segments 1.

  • Market and credit riskmedium

    Trading revenues and lending may be affected by market volatility and by deterioration in loan quality, as the credit loss provisions in the third quarter illustrate 2.

  • Technology and cyber riskmedium

    Reliance on complex technology systems and data protection requirements can give rise to operational incidents or additional costs 1.

  • Talent risklow

    Attracting and retaining skilled staff depends on competitive pay, and personnel costs can rise with revenues 12.

Investment thesis

What would need to be true (bull case)

  • If client asset flows in wealth management and investment banking activity keep growing, recurring revenues and returns could remain solid 2.
  • The integrated platform, backed by a strong capital position, could let the firm benefit from new opportunities in global markets 12.
  • Expense discipline, visible in the reported efficiency ratio, could support margins even in a competitive environment 2.

What would break the thesis

  • If competition from digital platforms and technology firms intensifies, price pressure could reduce revenues in some activities 1.
  • Trading revenues are sensitive to market conditions, and a period of low volatility could slow activity 2.
  • Regulatory changes on capital and liquidity could raise costs and limit flexibility in distributing capital 1.

What to watch

  • Development of wealth management revenues and net asset flowsQ4 2026
  • Trend in trading and investment banking revenuesQ4 2026
  • Changes to bank capital and liquidity rules2027
  • Filing of the next resolution plan, due July 20272027

Products, market & competition

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

The business

Morgan Stanley describes itself as a global financial services firm that, through its subsidiaries and affiliates, advises, originates, trades, manages and distributes capital for governments, institutions and individuals 1. It is a financial holding company regulated by the Federal Reserve and organizes its activity into three segments: Institutional Securities, Wealth Management and Investment Management 1. The firm is headquartered in and around New York City, with principal offices in London, Frankfurt, Tokyo and Hong Kong 1.

As of 31 December 2025 the group had approximately 83 thousand employees across 42 countries, reflecting the scale of its global operations 1. Its internal culture, described as rigor, humility and partnership, is presented as central to its strategy alongside financial strength and growth 1. If these priorities hold, the firm could keep extending its integrated client platform.

Morgan Stanley is subject to extensive consolidated supervision, including rules on capital, liquidity and resolution planning, which shape its structure and pace of growth 1. Its quarterly communication also emphasizes dividends and share repurchases within these requirements 2.

Segments

Wealth Management

The segment posted record net revenues of $9.1 billion in the third quarter of 2026, drawing on asset management fees, net interest income and transactional revenues 2. Net new assets reached $232.4 billion, with a significant part linked to flows associated with initial public offerings 2.

Market context

Morgan Stanley operates in global financial markets, where competition is intense for clients, market share and human talent 1. Its activity depends on capital market conditions, trading volumes and interest rate levels, and in the third quarter of 2026 revenues from client assets supported results 2.

Assets under management in Investment Management and client assets in wealth management give a sense of the size of the market in which the firm operates 2. Fee competition and the growth of electronic market access are factors that could limit margins over time 1.

Trends

  • Electronic trading and automationheadwind

    Electronic execution and automated trading platforms put pressure on institutional revenues, and this trend could continue as more markets move to automated systems 1.

  • Growth in wealth management assetstailwind

    Net asset flows and fees in wealth management rose in the third quarter of 2026, supporting the firm's recurring revenues 2.

  • Generative artificial intelligence and tokenizationmixed

    New technologies, including generative artificial intelligence and tokenization, could change competition and client technology needs, creating both costs and opportunities 1.

  • Changing regulationmixed

    Rules for banks and investment firms are under revision, and the exact impact on capital and liquidity remains uncertain 1. If requirements change, compliance costs and capital allocation could be affected.

Competitive position

Morgan Stanley competes with commercial banks, global investment banks, regional banks, broker-dealers, private banks, investment advisers and digital investing platforms 1. Competition is also fueled by emerging firms from the technology sector that offer similar services to retail and institutional clients 1.

Price pressure is most visible in standardized institutional products and in investment funds, where fees are under pressure 1. The firm's ability to access capital at competitive rates, influenced by credit spreads and ratings, remains a key factor 1.

  • Global investment banks

    Compete with Morgan Stanley for institutional clients, advisory mandates and trading activity, as described in the annual report 1.

  • Commercial and regional banks

    Offer deposit and lending products that overlap with wealth management and client financing, increasing competition for deposits 1.

  • Digital investing platforms

    Attract retail clients through low-cost online services, a segment where price competition is intense 1.

  • Traditional and alternative asset managers

    Compete in investment management, where relative performance and fee levels influence the attraction of funds 1.

News & filings

In the press

SEC filings

Sources

  1. [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Morgan Stanley · 19 Feb 2026
  2. [2] Form 8-K, results release (exhibit 99.1) · SEC / Morgan Stanley · 14 Oct 2026

Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.