Morgan Stanley (NYSE:MS) is a leading global financial services firm that provides a wide range of services, including investment banking, securities, wealth management, and investment management. On July 15, 2026, an analyst at Goldman Sachs increased their price target for Morgan Stanley to $241, suggesting a potential 5.51% upside from its trading price of $228.42 at the time.
This optimistic view follows a record-breaking second quarter for the company. As highlighted by Proactive Investors, Morgan Stanley announced net revenue of $21.35 billion and earnings of $3.46 per share. Earnings per share, or EPS, shows the company's profit for each outstanding share of its stock. These strong Q2 earnings results easily beat analysts' forecasts.
The strong financial performance was driven by its key divisions. The Institutional Securities unit generated a record revenue of $11.04 billion. This was helped by a significant 69% year-over-year increase in its equity trading revenue, which reached $6.30 billion. Investment banking revenue also climbed to $2.44 billion for the quarter.
Reflecting the company's strong financial health, Morgan Stanley increased its dividend by 15% to $1.15 per share. A dividend is a payment from a company's profits to its shareholders. Additionally, the firm's tangible book value per share, which measures its physical assets, grew to $53.18.
CEO Ted Pick credited the results to "Active markets and consistent execution," as reported by Invezz. The company's ability to grow revenue while keeping operating expense growth to only 3% demonstrates efficient management and supports the positive outlook on its stock.
