Morgan Stanley Earnings Preview: What to Expect

Core Viewpoint - Morgan Stanley is a leading global financial holding company with a market cap of $277.8 billion, providing a diverse range of financial services to various clients worldwide [1] Financial Performance - The company is expected to announce its fiscal Q4 2025 earnings on January 15, with analysts predicting a profit of $2.28 per share, reflecting a 2.7% increase from $2.22 per share in the same quarter last year [2] - For fiscal 2025, analysts forecast an EPS of $9.76, representing a significant 22.8% increase from $7.95 in fiscal 2024 [3] Stock Performance - Morgan Stanley shares have increased by 42.9% over the past 52 weeks, outperforming the S&P 500 Index's 15.4% rise and the Financial Select Sector SPDR Fund's 14.5% return during the same period [4] - On October 15, shares jumped 4.7% after the bank reported a Q3 2025 EPS of $2.80 and record net revenue of $18.22 billion, driven by a 44% increase in investment banking revenue and a 35% rise in equities trading revenue [5] Analyst Sentiment - The consensus view among analysts on Morgan Stanley stock is cautiously optimistic, with a "Moderate Buy" rating. Among 26 analysts, nine recommend "Strong Buy," three "Moderate Buys," and 14 suggest "Hold," indicating a more bullish outlook compared to three months ago [6] - The average analyst price target for Morgan Stanley is $173.41, suggesting a marginal potential upside from current levels [6]