Morgan Stanley Stock Is Trading Close To Its Fair Value

Morgan Stanley Stock Is Trading Close To Its Fair Value

MOSCOW, RUSSIA - AUGUST 14, 2018: The corporate logo at a branch of the Morgan Stanley Bank in ... [+] central Moscow; Morgan Stanley has refused to purchase Stockmann's Nevsky Centre shopping mall in St Petersburg. Maxim Grigoryev/TASS (Photo by Maxim Grigoryev\TASS via Getty Images) Morgan Stanley's stock (NYSE: MS) has gained 53% YTD, and at its current price of $101 per share, it is trading slightly above its fair value of 100 – Trefis' estimate for Morgan Stanley's valuation. The bank recently released its second-quarter FY2021 results, beating the earnings and revenues expectations. It reported total revenues of $14. 8 billion – up 8% y-o-y, mainly driven by a 92% y-o-y jump in investment management and a 30% increase in wealth management businesses. The growth was partially offset by a 14% drop in the institutional securities segment, primarily due to a 45% decline in FICC (fixed income, currency, and commodity) trading revenues. However, strong growth in equity trading and investment banking businesses was able to somewhat support the segment. Altogether, it translated into a 12% y-o-y increase in the adjusted net income to $3. 4 billion. The company's revenues of $48. 2 billion in 2020 were 16% above the