Overview
- Morgan Stanley reported 2025 revenue of $70.6 billion with EPS of $10.21 and ROTCE of 21.6%, including Q4 revenue of $17.9 billion and a full-year efficiency ratio of 68.4%.
- Wealth management drove Morgan Stanley’s scale with $356 billion in net new assets, $160 billion in fee-based flows and total client assets of $9.3 trillion, alongside record Q4 pretax margins of 31.4%.
- Morgan Stanley’s investment banking rebounded with $7.6 billion for 2025 and a 47% jump in Q4, while the firm completed $4.6 billion in buybacks, lifted its dividend to $1 and reported a 15% CET1 ratio with excess capital.
- Goldman Sachs posted Q4 profit of $4.6 billion and a record $4.3 billion in equities trading revenue, while total Q4 revenue declined 3% on a one-time hit tied to transferring Apple Card loans.
- Shares rallied on Thursday as Morgan Stanley jumped about 6% and Goldman rose roughly 4.7%, and follow-up moves on Friday included price-target increases from Wells Fargo and KBW for Goldman and from Bank of America for Morgan Stanley.