HSBC Securities has recently reduced Morgan Stanley (MS) stock to Hold rating, as announced on November 26, 2024, according to Finviz. Earlier, on November 15, 2024, Wells Fargo had raised the stock from a Underweight to Equal Weight, setting a price target of $142. HSBC Securities also raised Buy rating with a price target of $118. Additionally, Goldman reduced Neutral rating on September 11, 2024. Wells Fargo analysts, in their report published on August 2, 2024, also reduced Underweight rating and set a price target of $99 for Morgan Stanley’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
Morgan Stanley (MS) Stock Trading Recap
On Thursday, Morgan Stanley (MS) stock saw a decline, ending the day at $136.84 which represents a decrease of $-0.27 or -0.20% from the prior close of $137.11. The stock opened at $137.97 and touched a low of $136.35 during the day, reaching a high of $138.1. The volume of shares traded was 4.52 million falling short of the average volume of 6.42 million.
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MS Stock Performance and Moving Averages
In recent trading, Morgan Stanley (MS) stock price has shown some volatility, fluctuating -3.01% over the last five trades and 9.81% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by 41.50%, and it has gained 2.49% in the previous three months. Currently, MS is trading at -0.76%, 4.23%, and 22.23% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, MS, a Financial sector stock, is trading -3.65% below its 52-week high but remains 64.69% above its 52-week low. The Average True Range (ATR) (14 days) of 2.84 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
Morgan Stanley’s Profitability and Valuation Ratios
Morgan Stanley’s profitability metrics reveal financial health. The company currently boasts an operating margin of 16.23% and a profit margin of 11.92%, with a gross margin of 41.50%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, Morgan Stanley’s market capitalization stands at $220.45 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 17.21, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 14.3. Additionally, the Price-to-Sales Ratio is 2.05, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 2.32, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 23.63% of Morgan Stanley (MS)’s shares, while financial institutions hold 61.24%.
Notable insider trades include CRAWLEY MANDELL, Chief Client Officer at Morgan Stanley (MS), who sold 8312 shares on Jan 22 ’25, at $138.06 each, totaling $1.15 million. On Jan 21 ’25, GROSSMAN ERIC F, Chief Legal/Admin Officer, sold 13097 shares for $136.2 each, amounting to $1.78 million. Additionally, on Jan 21 ’25, SIMKOWITZ DANIEL A sold 36631 shares at $136.61 each, generating $5.00 million.
