Financial Performance - Net revenues for Q4 2024 reached $16,223 million, a 5% increase from Q3 2024 and a 26% increase from Q4 2023[3] - Net income applicable to Morgan Stanley for Q4 2024 was $3,714 million, a 16% increase from Q3 2024 and 145% increase from Q4 2023[3] - Earnings per diluted share for Q4 2024 were $2.22, an 18% increase from Q3 2024 and 161% increase from Q4 2023[6] - Consolidated net revenues for Q4 2024 were $16,223 million, a 5% increase from $15,383 million in Q3 2024 and a 26% increase from $12,896 million in Q4 2023[8] - Net income applicable to Morgan Stanley for Q4 2024 was $1,891 million, a 32% increase from $1,436 million in Q3 2024 and a 93% increase from $304 million in Q4 2023[12] - The pre-tax margin for Wealth Management was 27% in Q4 2024, consistent with Q4 2023[14] - Total non-interest expenses for Q4 2024 were $11,202 million, compared to $11,083 million in Q3 2024 and $10,797 million in Q4 2023, with total non-interest expenses year-to-date at $43,901 million[36] Revenue Breakdown - Institutional Securities net revenues were $7,267 million, up 7% from Q3 2024 and 47% from Q4 2023[3] - Wealth Management net revenues increased to $7,478 million, a 3% rise from Q3 2024 and 13% from Q4 2023[3] - Investment Management net revenues rose to $1,643 million, reflecting a 13% increase from Q3 2024 and 12% from Q4 2023[3] - Investment banking revenues for Q4 2024 reached $1,641 million, a 12% increase from $1,463 million in Q3 2024 and a 25% increase from $1,318 million in Q4 2023[12] - Wealth Management net revenues for Q4 2024 were $7,478 million, a 3% increase from Q3 2024 and a 13% increase from Q4 2023[14] - Adjusted net revenues (non-GAAP) for Q4 2024 were $7,504 million, compared to $6,403 million in Q4 2023, reflecting a 17.3% increase[42] Asset and Capital Management - The firm’s total assets as of December 31, 2024, were reported at $1,000 billion, reflecting a strategic focus on asset growth and management[3] - Total assets decreased by 3% from $1,258,027 million in Q3 2024 to $1,215,071 million in Q4 2024, but increased by 2% compared to $1,193,693 million in Q4 2023[8] - The Common Equity Tier 1 capital ratio improved to 15.9% in Q4 2024 from 15.1% in Q3 2024 and 15.2% in Q4 2023[10] - The Tier 1 capital ratio was 17.9% in Q4 2024, up from 17.1% in Q3 2024 and consistent with 17.1% in Q4 2023[10] - The allowance for credit losses (ACL) for loans and lending commitments at the end of Q4 2024 was $1,722 million, down from $1,723 million at the end of Q3 2024[46] Loans and Deposits - Loans increased by 3% from $239,760 million in Q3 2024 to $246,814 million in Q4 2024, and by 9% compared to $226,828 million in Q4 2023[8] - Deposits rose by 3% from $363,722 million in Q3 2024 to $376,007 million in Q4 2024, and by 7% compared to $351,804 million in Q4 2023[8] - Consolidated Loans totaled $422.8 billion, a 3% increase from $409.6 billion in the previous quarter and a 12% increase from $376.3 billion year-over-year[23] - Wealth Management Loans increased to $159.5 billion, up 3% from $155.3 billion in the previous quarter and up 9% from $146.5 billion year-over-year[23] Client Assets and Flows - Total client assets in Wealth Management reached $6,194 billion, reflecting a 4% increase from Q3 2024 and a 21% increase from Q4 2023[17] - Net new assets for Q4 2024 were $56.5 billion, down 12% from Q3 2024 but up 19% from Q4 2023[17] - Total Net Flows reached $71.1 billion, a significant increase from $16.6 billion in the previous quarter, while year-over-year flows improved from $7.5 billion[21] - Long-Term Net Flows were $4.3 billion, down 41% from $7.3 billion in the previous quarter, and down from $18.0 billion year-over-year[21] Expenses and Compensation - Compensation expenses for Q4 2024 were $6,197 million, a decrease from $6,457 million in Q3 2024 and an increase from $5,597 million in Q4 2023[4] - Compensation and benefits for Q4 2024 amounted to $6,289 million, a decrease from $6,733 million in Q3 2024 and an increase from $5,951 million in Q4 2023[36] - Total non-interest expenses for Wealth Management were $5,388 million in Q4 2024, a 4% increase from Q3 2024 and a 3% increase from Q4 2023[14] Performance Metrics - Return on average common equity improved to 15.2% in Q4 2024, compared to 13.1% in Q3 2024 and 6.2% in Q4 2023[6] - The return on average common equity for Q4 2024 was 16%, up from 12% in Q3 2024 and 2% in Q4 2023[12] - Return on Average Common Equity for Wealth Management was 20% for the year ended December 31, 2024, compared to 17% for the previous year[14] Risk and Regulatory Compliance - The firm continues to evaluate its Required Capital framework in light of evolving regulatory requirements to ensure adequate capital is maintained[30] - The average liquidity resources for the three months ended December 31, 2024, were actively managed considering various components including unsecured debt maturity profile and regulatory requirements[30] - The firm’s risk-based capital ratios are computed under standardized and advanced approaches for calculating credit risk and market risk risk-weighted assets[30]

Core Insights - Analysts expect Morgan Stanley (MS) to report quarterly earnings of $1.62 per share, reflecting a year-over-year increase of 43.4% [1] - Revenue projections stand at $14.8 billion, indicating a 14.7% increase from the previous year [1] - The consensus EPS estimate has been revised upward by 1.1% over the past 30 days, showing analysts' reappraisal of initial projections [1] Revenue Estimates - The consensus estimate for 'Revenues- Investment banking' is $1.72 billion, representing a year-over-year change of +21.5% [4] - 'Net revenues- Investment Management' are projected to reach $1.52 billion, indicating a +3.8% change from the year-ago quarter [4] - 'Revenues- Asset management' are estimated at $5.77 billion, reflecting a +14.6% year-over-year change [4] Non-Interest Revenues and Book Value - Analysts forecast 'Total non-interest revenues' to be $12.58 billion, suggesting a +14.4% year-over-year change [5] - The 'Book value per common share' is expected to be $58.14, up from $55.50 in the same quarter last year [5] Return on Equity and Client Assets - The consensus for 'Return on average common equity' is 10.7%, compared to 6.2% reported in the same quarter last year [6] - 'Wealth Management - Total client assets' is projected to reach $5,779.08 billion, up from $5,129 billion in the previous year [6] Assets Under Management - 'Total assets under management' is expected to be $1,545.39 billion, compared to $1,459 billion in the same quarter last year [7] - 'Assets under management - Liquidity and Overlay Services' is estimated at $490.87 billion, slightly up from $485 billion year-over-year [7] - 'Assets under management - Fixed income' is projected to reach $181.04 billion, compared to $171 billion in the previous year [8] Market Performance - Over the past month, Morgan Stanley shares have recorded a return of -3.1%, compared to the Zacks S&P 500 composite's -2.2% change [9]

Core Viewpoint - Morgan Stanley's trading business is expected to perform well in Q4 2024, driven by increased client activity and market volatility, which will likely support its quarterly results to be announced on January 16 [1][2]. Trading Revenues - The Zacks Consensus Estimate for equity trading revenues is $2.38 billion, reflecting an 8.2% increase year-over-year, while fixed-income trading revenues are estimated at $1.78 billion, indicating a 24% growth [3]. - The company's own estimates for Q4 equity trading revenues and fixed-income trading revenues are $2.78 billion and $1.93 billion, respectively [3]. Investment Banking Income - Global mergers and acquisitions (M&As) showed significant improvement in Q4 2024, with robust deal value and volume, supported by strong financial performance and interest rate cuts [4]. - The Zacks Consensus Estimate for advisory fees is $593.2 million, suggesting a 15.5% decline from last year, while the company's estimate is $613.1 million [5]. - The IPO market is showing cautious optimism, with increased activity in follow-up equity issuances and decent bond issuance volume, leading to expected growth in underwriting fees [6]. - The consensus estimate for fixed-income underwriting fees is $515.2 million (31.8% increase), and for equity underwriting fees, it is $360.6 million (60.3% increase), with total underwriting fees estimated at $875.8 million (42.2% rise) [7]. - Total Investment Banking income is expected to rise significantly, with the Zacks Consensus Estimate at $1.62 billion (22.8% increase) [8]. Net Interest Income - The Federal Reserve's interest rate cuts are anticipated to support Morgan Stanley's Net Interest Income (NII) growth, with the Zacks Consensus Estimate for NII at $2.09 billion (10.1% increase) [9][10]. Expenses - Overall costs are expected to be elevated due to investments in franchises, with total non-interest expenses estimated at $11.04 billion (2.2% year-over-year increase) [11]. Earnings Estimates - The Zacks Consensus Estimate for earnings per share has been revised to $1.60, indicating a 41.6% rise from the previous year, with sales estimated at $14.71 billion (14.1% increase) [14]. Earnings Prediction - The likelihood of Morgan Stanley beating the Zacks Consensus Estimate for earnings is high, supported by a positive Earnings ESP of +1.79% and a Zacks Rank of 3 [12][13].

The latest trading session saw Morgan Stanley (MS) ending at $126.88, denoting a -1.37% adjustment from its last day's close. The stock's change was less than the S&P 500's daily loss of 1.11%. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, lost 1.89%.Coming into today, shares of the investment bank had gained 0.05% in the past month. In that same time, the Finance sector lost 3.95%, while the S&P 500 lost 1.7%.Market participants will be closely following the financial results of Morgan ...

The Finance group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Morgan Stanley (MS) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.Morgan Stanley is one of 871 companies in the Finance group. The Finance group currently sits at #1 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks ...

The most recent trading session ended with Morgan Stanley (MS) standing at $127.59, reflecting a +0.63% shift from the previouse trading day's closing. This change lagged the S&P 500's 0.82% gain on the day. Meanwhile, the Dow lost 0.22%, and the Nasdaq, a tech-heavy index, added 1.77%.Heading into today, shares of the investment bank had lost 4.17% over the past month, lagging the Finance sector's gain of 0.44% and the S&P 500's gain of 0.8% in that time.Market participants will be closely following the fi ...

Morgan Stanley (MS) closed the most recent trading day at $131.61, moving +0.3% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.56%. Elsewhere, the Dow saw an upswing of 0.42%, while the tech-heavy Nasdaq appreciated by 0.83%.Shares of the investment bank have appreciated by 12.87% over the course of the past month, outperforming the Finance sector's gain of 4.42% and the S&P 500's gain of 3.11%.Investors will be eagerly watching for the performance of Mor ...

For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Morgan Stanley (MS) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? By taking a look at the stock's year-to-date performance in comparison to its Finance peers, we might be able to answer that question.Morgan Stanley is a member of the Finance sector. This group includes 871 individual ...

Morgan Stanley (MS) closed the most recent trading day at $134.69, moving -0.22% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.35%. Elsewhere, the Dow saw an upswing of 0.97%, while the tech-heavy Nasdaq appreciated by 0.17%.The investment bank's shares have seen an increase of 13.27% over the last month, surpassing the Finance sector's gain of 3.93% and the S&P 500's gain of 1.69%.Analysts and investors alike will be keeping a close eye on the performan ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...