- Morgan Stanley Q3 earnings beat estimates as net interest income and wealth management surged.
- Pre-report consensus expected Q3 EPS of $2.91 and revenue of $19.95 billion, according to LSEG.
- Consensus expected investment banking revenue of $2.27 billion and equities trading revenue of $4.89 billion.
- Rivals Goldman Sachs and JPMorgan Chase reported robust investment banking and equities trading revenue earlier in the same week.
- Analysts focused on CEO Ted Pick's outlook for mergers and IPOs for the rest of the year amid rising interest rates.
- Morgan Stanley's thematic research shows high-materiality AI adopters on track for 460 basis points of EBIT margin expansion through year-end.
Quotes
“Morgan Stanley Q3 earnings beat estimates as net interest income and wealth management surge.”
“the benefits of AI adoption are beginning to flow through to earnings”
“Morgan Stanley is expected to benefit from robust investment banking and equities trading revenue in the quarter”