Ted Beck, CEO of Morgan Stanley, speaks on CNBC's “Squawk Box” at the World Economic Forum's annual meeting in Davos, Switzerland, on January 18, 2024.
Adam Galese | CNBC
Morgan Stanley On Thursday, it beat estimates for fourth-quarter earnings and revenue as the company's shares and fixed-income traders beat expectations.
Here is what the company said:
- Earnings: $2.22 per share versus $1.70 LSEG estimate
- Revenues: $16.22 billion, compared to an expected $15.03 billion
The bank said its quarterly profits doubled to $3.71 billion, or $2.22 per share, compared to last year. previouslywhen he had a pair of regulatory charges.
Revenue rose 26% to $16.22 billion as results improved across all of the bank's core businesses.
But it was the company's stock trading business that shined brightly this quarter, leading to a 51% jump in revenue to $3.3 billion, or nearly $650 million more than StreetAccount estimates. Morgan Stanley cited increased client activity in the quarter and strength in its prime brokerage business that caters to hedge funds.
The bank's massive wealth management business will benefit from rising stock market values in the fourth quarter, swelling the management fees it collects.
Investment banking activity continued its rebound last quarter, jumping 29% in the quarter, according to Dealogic figures, driven by a rise in advisory and capital markets activity. Trading activity was supported by an eventful election season.
Wednesday, JPMorgan Chase, Goldman Sachs and Citigroup Each beat expectations, supported by better-than-expected revenues from trading or investment banking.
This story is evolving. Please check back for updates.
