Morgan Stanley stock price target raised to $175 from $165 at Evercore ISI

Investing.com - Evercore ISI has raised its price target on Morgan Stanley (NYSE:MS) to $175.00 from $165.00 while maintaining an Outperform rating on the stock. The financial giant, currently trading near its 52-week high of $166.77, has demonstrated impressive momentum with a 53% return over the past six months. According to InvestingPro analysis, Morgan Stanley is currently trading close to its Fair Value.

The price target increase follows Morgan Stanley’s strong quarterly results, which saw the company’s shares rally approximately 5%. The financial services firm, with a substantial market capitalization of $259.64 billion, reported beats across all key metrics, driven by strength in investment banking and trading activities. The company’s revenue growth stands at 17.59%, reflecting robust operational performance.

Morgan Stanley’s Global Wealth Management division demonstrated significant operating leverage, achieving a 31.3% core pre-tax margin. The Institutional Securities Group also showed strong performance, contributing to an overall return on tangible common equity (ROTCE) of 23.5%.

Evercore ISI noted that Morgan Stanley is entering what appears to be a multi-year M&A cycle where large, global players are expected to consolidate market share. The firm also highlighted that Morgan Stanley has approximately 300 basis points of excess capital, with another 80 basis points of relief anticipated.

Morgan Stanley Investment Management was also recognized for its strategic initiatives, including the rollout of Parametric to third-party investment managers, which accounted for over half of the division’s flows in the most recent quarter.

In other recent news, Morgan Stanley reported its third-quarter 2025 earnings, significantly surpassing expectations with an earnings per share (EPS) of $2.80, compared to the anticipated $2.09. The company achieved record revenues of $18.2 billion, exceeding forecasts by 9.36%. These robust financial results reflect strong performance across key metrics, particularly in the Global Wealth Management (GWM) sector, where net interest income grew 4% sequentially. This growth outperformed management’s guidance of approximately flat results for the quarter.

In addition to these financial achievements, Citizens analyst Brian McKenna reiterated a Market Perform rating for Morgan Stanley, noting the company’s ability to exceed market expectations in several areas. The analyst’s assessment comes in light of the company’s impressive earnings and revenue figures. These developments collectively highlight Morgan Stanley’s solid strategic direction and financial health in the recent quarter.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.