Ted Peake, CEO of Morgan Stanley, speaks on CNBC’s Squawk Box at the annual meeting of the World Economic Forum in Davos, Switzerland, January 18, 2024.
Adam Galich | CNBC
Morgan Stanley reported results Tuesday that beat analysts’ earnings and revenue estimates as its asset management, trading and investment banking operations beat expectations.
Here’s what the company said:
- Earnings: $2.02 per share vs. LSEG estimate of $1.66.
- Revenue: $15.14 billion versus expected $14.41 billion.
First-quarter profit rose 14% to $3.41 billion, or $2.02 per share, helped by stronger results in each of its three main divisions, the bank said. Revenue rose 4% to $15.14 billion.
Peake’s tenure began on a rocky note as high interest rates prompted the bank’s wealth management clients to shift cash into higher-yielding securities.
But if its peers are any indication, Morgan Stanley could benefit from strong investment banking and trading results for the quarter.
Last week, Jay PMorgan Chase, Wells Fargo and Citigroup each of them exceeded revenue and profit expectations, and the streak continued Goldman Sachs on Monday. Bank of America reported its quarterly results earlier on Tuesday.
Analysts are likely to question Peak over reports that several U.S. regulators investigation Morgan Stanley for possible deficiencies in due diligence of clients in its asset management division.
This story is evolving. Please stay tuned for updates.