Morgan Stanley(MS)
NASDAQ

Fundamental Analysis & Financials

$226.03
-1.06 (-0.47%)

Valuation Snapshot

What the multiples imply about expectations

The market considers the company to be a large-cap player with a significant market presence. At current multiples, it trades fairly valued—reflecting market expectations.

Valuation Metrics

Ratios and multiples

Forward P/E
16.71
EV/Revenue (TTM)3.73

Financial Health

Liquidity and leverage

ROE (TTM)16.39%
ROA (TTM)1.27%
Debt/Equity (MRQ)502.25

The company's financial health appears moderate. High ROE and moderate ROA reflect reasonably efficient capital use. Note: ROE is materially amplified by leverage and share repurchases. Debt is elevated but represents structural leverage for shareholder return strategy (buybacks) rather than operational stress.

Valuation Multiples

Current valuation metrics

P/E Ratio20.47
P/B Ratio3.42
P/S Ratio4.87
PEG Ratio2.55

Quarterly Earnings History

Recent quarterly financial performance and trends

Latest Quarter
Q1 2026
Revenue (TTM)
$19.32B
Net Income (TTM)
$5.57B
EPS (Diluted)
$3.43
QuarterRevenueNet IncomeGross ProfitEPS (Basic)EPS (Diluted)Gross MarginNet Margin
Q1 2026(Latest)$19.32B$5.57BN/A$3.47$3.43N/A28.8%
Q4 2025$16.76B$4.40BN/A$2.72$2.68N/A26.2%
Q3 2025$17.08B$4.61BN/A$2.83$2.80N/A27.0%
Q2 2025$15.60B$3.54BN/A$2.15$2.13N/A22.7%
Q1 2025$16.52B$4.32BN/A$2.62$2.60N/A26.1%

Key Insights:

  • Revenue increased by 15.3% from previous quarter
  • Net margin of 28.8% indicates strong profitability
  • EPS improved by 28.0% quarter-over-quarter

Financial Efficiency

Utilization and collections performance

Asset Turnover 0.05 indicates low efficiency. Receivables Turnover 0.64 and DSO 572.24 reflect poor collections. ROIC 3.7% highlights weak capital returns.

Efficiency Metrics

Asset Turnover0.05
Receivables Turnover0.64
Days Sales Outstanding572.24
ROIC (TTM)3.7%

Profitability & Growth

Margins and earnings power

Revenue (TTM)
$73.17B
16.30 YoY
Profit Margin (TTM)
24.75%
Operating Margin (TTM)
40.62%
Gross Profit (TTM)
$63.94B
Gross Margin 87.39%
Net Income (TTM)
$17.50B
Earnings 31.90% YoY

Efficiency Performance Matrix

4-quadrant analysis of operational efficiency vs profitability

Efficiency vs Profitability Quadrants

High Efficiency
High Margin
High Efficiency
Low Margin
Low Efficiency
High Margin
Low Efficiency
Low Margin

Efficiency Analysis

Asset Turnover
Efficiency:0.05x
Margin:87.4%
Quadrant:Margin-Driven
Receivables Turnover
Efficiency:0.64x
Margin:40.6%
Quadrant:Margin-Driven
Working Capital
Efficiency:NaNx
Margin:24.8%
Quadrant:Unknown
Overall Efficiency Score

Profit-focused operations with efficiency opportunities

⚠️ Thresholds are benchmark-based heuristics derived from long-term industry averages, not strict valuation rules.

• Bubble size represents ROIC magnitude

• Green (Optimal): Excellent efficiency-profitability balance

• Blue (Efficiency-Driven): High turnover, room to improve margins

• Yellow (Margin-Driven): Strong margins, opportunity to improve efficiency

• Red (Weak Operations): Areas needing improvement on both dimensions

Market Data & Share Structure

Comprehensive valuation metrics and ownership breakdown

Market Data & Capitalization

Market Cap
$334.76B
Mega-cap: Premium liquidity & institutional favorite
Enterprise Value
$261.82B
EV 22% < Market Cap: Net cash position
Next Earnings Date
07/15/2026
Scheduled quarterly results announcement

Share Statistics & Ownership

Shares Outstanding
1.58B
Total shares issued and held by all shareholders
Shares Float
1.20B
76% float - restricted shares held
Institutional Ownership
62.78%
High - professional investor base
Insider Ownership
24.33%
High alignment - strong insider conviction
Shares Short
23.66K
0.0% of float - minimal short interest
Implied Shares Outstanding
1.58B
Matches reported shares - consistent data

Profitability Margin Pyramid

Hierarchical view of margin compression from revenue to net income

Margin Hierarchy by Profitability Level

100.0%
Revenue
$73.17B
87.4%
Gross Profit
$63.94B
0.0%
EBITDA
24.8%
Net Income
$17.50B
Margin Profile:
Revenue100.0% margin (Top line revenue generation)
Gross Profit87.4% margin (Revenue minus cost of goods sold)
EBITDA0.0% margin (Earnings before interest, taxes, depreciation, and amortization)
Net Income24.8% margin (Bottom line profitability after all expenses)

Margin Analysis

Total Revenue

Amount:$73.17B
Margin:100.0%
Top line revenue generation

Gross Profit

Amount:$63.94B
Margin:87.4%
Revenue minus cost of goods sold

EBITDA

Amount:N/A
Margin:0.0%
Earnings before interest, taxes, depreciation, and amortization

Net Income

Amount:$17.50B
Margin:24.8%
Bottom line profitability after all expenses

Margin Quality Assessment

Excellent margin structure with strong bottom-line profitability

• Larger circles represent higher dollar amounts

• Margin percentages show profitability at each level

• Blue: Revenue base

• Green: Gross profitability

• Yellow: Operating performance

• Red: Net profitability

Operating Cash & Liquidity

Core cash generation and short-term solvency

Cash Flow Analysis

Operating Cash Flow (TTM)

$-1.01B

Cash from core operations

Free Cash Flow (TTM)

Available after capex

Financial Position & Liquidity

Current Ratio

1.96

Healthy

Quick Ratio

1.53

Strong

Net Cash

$83.79B

Net creditor

Total Cash

$663.30B

Balance sheet cash

Total Debt

$579.51B

Outstanding borrowings

Ownership & Shareholder Sentiment

Insider, institutional, and short interest positions

Insider Ownership

24.33%

Strong confidence

Institutional Ownership

62.78%

Majority backing

Ownership structure shows strong insider confidence and institutional majority backing.

Dividends & Shareholder Returns

Policy stance and implications

The company maintains a sustainable dividend policy with a payout ratio of 35.5% (Cash flow coverage: -0.2x). Cash flow provides adequate dividend support with room for continued payments.

Payout Ratio
35.55%
Trailing Dividend Rate
4
Trailing Dividend Yield
1.77%
5 Year Avg Dividend Yield
2.98%
Forward Annual Dividend Rate
4
Forward Annual Dividend Yield
1.77%
Ex-Dividend Date
04/30/2026
Last Split
01/27/2000 (2.00)