Morgan Stanley Trounces Q4 Expectations on Strong Bond Trading

This post was originally published on this site

https://i-invdn-com.akamaized.net/news/LYNXNPEC5N1DW_M.jpg
© Reuters. Morgan Stanley Earnings, Revenue Beat in Q4© Reuters. Morgan Stanley Earnings, Revenue Beat in Q4

Investing.com – Morgan Stanley (NYSE:) became the latest of Wall Street’s bulge bracket to report fourth-quarter sharply ahead of analysts’ expectations, thanks to a bumper quarter for bond trading and underwriting.

The firm reported earnings per share of $1.2 on revenue of $10.86 billion. Analysts polled by Investing.com expected EPS of $1.03 on revenue of $9.71 billion.

That was up from EPS of $0.73 on revenue of $8.55 billion in the same period a year earlier.

The firm reported earnings per share of $1.2 on revenue of $10.86B. Analysts polled by Investing.com expected EPS of $1.03 on revenue of $9.71B. That compared to EPS of $0.73 on revenue of $8.55B in the same period a year earlier. The company had reported EPS of $1.21 on revenue of $10.03B in the previous quarter.

Net profit rose over 50% from a year earlier to $2.2 billion, even after a $172 million charge for restructuring costs as the bank cut positions at the end of the year.

“We delivered strong quarterly earnings across all of our businesses,” said chairman and chief executive officer James Gorman, noting that four straight quarters of revenue over $10 billion had made for a record year on both top and bottom lines.

Return on tangible common equity – a key measure of profitability – rose to 13.0% from 8.8% a year earlier, but was still below the 2019 average of 13.4%

Morgan Stanley follows other major Financial sector earnings this month

On Tuesday, JPMorgan reported fourth quarter EPS of $2.57 on revenue of $29.21B, compared to forecasts of EPS of $2.35 on revenue of $27.87B.

Bank of America earnings beat analysts’ expectations on Wednesday, with fourth quarter EPS of $0.74 on revenue of $22.35B. Investing.com analysts expected EPS of $0.69 on revenue of $22.22B

Stay up-to-date on all of the upcoming earnings reports by visiting Investing.com’s earnings calendar

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.