Morgan Stanley MS Q4 2025 earnings

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Morgan Stanley’s fourth-quarter results have surpassed Wall Street expectations, driven by strong revenue from its wealth management division. The bank reported earnings per share of $2.68, exceeding the $2.44 that analysts were anticipating. Additionally, revenue came in at $17.89 billion, slightly higher than the expected $17.77 billion.

Net income for the fourth quarter rose to $4.40 billion, or $2.68 per share, up from $3.71 billion, or $2.22 per share, in the previous year. Revenue also saw an increase, reaching $17.89 billion compared to $16.22 billion a year ago.

Following the report, Morgan Stanley’s stock surged by about 6%. The wealth management unit was a standout performer, generating $8.4 billion in net revenue for the quarter, up from $7.5 billion in the same period last year. For the full year, the division recorded a record $31.8 billion in net revenue. Total client assets in the wealth and investment management business grew to $9.3 trillion, with over $350 billion in net new assets.

CEO and Chairman Ted Pick praised the bank’s performance, stating, “Morgan Stanley delivered outstanding performance in 2025. Our performance reflects multi-year investments which have contributed to growth and momentum across the Integrated Firm.”

The investment banking segment also saw significant growth, with net revenue increasing by 47% to $2.41 billion from $1.64 billion in the previous year. This surge was driven by stronger advisory fees as completed M&A activity rose across all regions.

During the quarter, Morgan Stanley repurchased $1.5 billion of its stock and bought back a total of $4.6 billion throughout the year under its share repurchase program. The bank’s shares have gained over 43% in the past 12 months.

In comparison, other banks have also reported strong results. JPMorgan Chase exceeded expectations for the fourth quarter, driven by robust equities and fixed income trading revenue. Wells Fargo, on the other hand, posted weaker-than-expected revenue, while Bank of America and Citigroup beat consensus estimates.

Overall, Morgan Stanley’s impressive performance in the fourth quarter underscores its position as a leading player in the financial services industry. The bank’s focus on wealth management and investment banking has paid off, contributing to its solid financial results and stock performance.