Orin
MSNYSE·Financial - Capital Markets

Morgan Stanley MS

Market cap $312.9BP/E 16.0× trailingGross margin 59.7%Reports Wed 14 Oct, before the open
$198.39
−1.79 (−0.89%)Wed close 16:00 ET
52-wk $151.84 – $232.25
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Orin's take
0.62conviction · moderate
Refreshed 5 Aug · take v5. A new filing or a print queues the next refresh.

Morgan Stanley's FY2025 results are genuinely strong — EPS nearly doubled from $5.18 in 2023 to $10.20, revenue reached $115B, and FCF swung dramatically to $46.1B from -$36.9B two years prior. However, at $217 the stock trades at 17.4x earnings, a slight premium to Goldman Sachs at 16.0x, while sitting 17% above its 200-day MA with a bearish MACD crossover and RSI at a neutral 52.9.

Persistent insider net selling ($257M over 24 months, including recent sales by the CFO and Head of Technology) and a slightly negative smart money score add caution. The fundamental trajectory supports holding, but the combination of stretched technicals, insider distribution, and a $136B increase in total debt since 2023 argues against adding at current levels.

What could go wrong

  • Debt expansion. Total debt surged from $339B (FY2023) to $475.6B (FY2025), a $136B increase that could pressure returns and balance-sheet flexibility if rates remain elevated or credit conditions deteriorate.
  • Insider distribution. Net insider selling of 759K shares worth $257M over 24 months, with recent July 2026 sales by the CFO and Head of Technology & Operations, signals limited insider conviction at these levels.
  • Technical exhaustion. Stock trades 17% above its 200-day MA ($184.95) with a bearish MACD histogram (-0.64) and RSI at 52.9, suggesting near-term momentum has stalled after a significant run.
  • Valuation premium to closest peer. MS trades at 17.4x PE vs GS at 16.0x and 2.71x PS vs GS at 2.63x, a modest premium despite comparable business mix, limiting relative upside.

What would change my mind

Pullback to 200-day MA. Stock retreats toward the $185–$190 range (200-day MA zone), improving risk/reward for re-entrybullish
FY2026 earnings confirmation. Next quarterly results show continued EPS growth above $10 annualized pace with stable or declining total debtbullish
Insider buying reversal. Cluster buying emerges from officers or directors, reversing the persistent net-selling patternbullish

Where this comes from: FMP annual fundamentals · FMP annual fundamentals · FMP annual fundamentals · peer_relative composite. Orin's read on MS; not advice.

Twelve months actual closes to 2026-09-23 · actual filings

Sept 25Nov 25Jan 26Mar 26May 26Jul 26

50-day average 200-day average · volume below

Largest holders · 13F Q2 2026

Money flow
FilerPositionOf fund
State Street$20.8B0.6% of fund
Vanguard Capital Management$16.2B0.3% of fund
Jpmorgan Chase &$9.4B0.5% of fund
Brasada Capital Management$7.5B1.3% of fund
Vanguard Portfolio Management$6.3B0.3% of fund
Geode Capital Management$5.7B0.3% of fund

153 filers · quarter ended Q2 2026 · positions, not flows

Insiders, last 24 months: 152 Form 4 filings, net −$257.0M. Of the 50 on hand, 0 were open-market purchases and 17 sales— the rest are grants, option exercises and tax withholding.

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Where it trades

vs its own 5y · Financial Services
MetricNowOwn medianSector
P/E16.0×14.9×21.6×
EV/EBITDA23.1×21.3×
P/S2.47×2.30×
P/B2.8×1.7×

Its P/E sits 60th percentile of its own last 5 years (+0.70σ from its own mean).

What the price assumes

-7.5%

free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $46.1B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.

What Wall Street published

52 firms · 2026-09-23
Consensus target

$240

$215$260 · +21% against today's price

How they rate it
  • 29 buy or overweight
  • 22 hold
  • 1 underweight or sell

The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.

Against the companies it is compared to

median P/E 14.3× of 1 peers
CompanyMarket capP/EEV/EBITDAGrossNetROE
MSMorgan Stanley$313B16.0×23.1×59.7%16.0%18%
APLDApplied Digital Corp.$8B22.4%-42.3%-17%
BTBTBit Digital, Inc.$618M32.1%-237.2%-47%
CLSKCleanSpark, Inc.$4B-5.3%-146.9%-75%
GSThe Goldman Sachs Group, Inc.$276B14.3×26.5×57.3%17.8%17%
HUTHut 8 Corp.$12B263.3×25.3%-188.5%-39%
MARAMarathon Digital Holdings, Inc.$5B-8.5%-429.7%-110%
RIOTRiot Platforms, Inc.$9B-13.8%-196.3%-48%

The median is of the 1 peers listed above and nothing else — check it against the column. This company trades 11.8% above it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.

What it has traded at

P/E by fiscal year
FY14 23.7×FY25 17.2×

What its sector has traded at

Financial Services
FY14 29.6×FY26 23.9×

Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.

Discounted cash flow

not recomputed since
ModelFair valueAgainstComputed
Standard DCF$21$207.78 · −90%2026-06-10
Levered DCF$-70$207.78 · −134%2026-06-10

The vendor’s intrinsic-value models. Treat them as a low-growth anchor — for a fast grower the market routinely pays well above a DCF. These were computed against the price in the “against” column, not today’s.

Every estimate on one scale

price $198.39
52-week range$152 – $232
Analyst targets$215 – $260
Standard DCF$21 as of 2026-06-10, when it was $207.78
Levered DCF$-70 as of 2026-06-10, when it was $207.78
At own 5y-median P/E (15×)$186
At 5y P/E range (12–17×)$145 – $208
At sector P/E (22×)$268

The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.