Morgan Stanley

MS: XNYS (USA)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	$73.00	Vdgttk	Hvhppkdjv

Reducing Our FVE for Morgan Stanley to $91 and for Goldman Sachs to $404

Michael Wong

Nov 1, 2022

We are decreasing our fair value estimate for narrow-moat-rated Morgan Stanley to $91 from $96 per share. This implies a forward price/earnings ratio of about 13.5 times and a price/tangible book ratio of 2.3 times. Of the net $5 decrease in our fair value estimate, $2 was from the recent decline in client assets, $2 is from lower investment banking and trading revenue, and $1 is from miscellaneous changes in our model.

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