Morgan Stanley share price up 2% after Q1 earnings revenue beat

The US bank tops earnings and revenue estimates in its Q1 earnings report.

Morgan Stanley share price jumped by 2% after reporting its Q1 profits. Morgan Stanley’s Q1 earnings outperformed Wall Street expectations.

Morgan Stanley earnings:key figures

Earnings per share $1.39
Revenue $10.29 billion
Net Profits $2.4 billion
Wealth management $4.39 billion

Morgan Stanley share price up 2% after Q1 earnings revenue beats estimates

Morgan Stanley Q1 earnings per share was $1.33, surpassing the $1.17 financial experts expected. Morgan Stanley profits totaled $2.4 billion. Morgan Stanley Q1 revenue was $10.29 billion, more than the predicted $9.94 billion. The bank’s wealth management division had $4.39 billion in revenue, far exceeding projections by $200 million.

Chief executive officer, James Gorman, noted that the company had strong revenue despite the volatility of the US economy in late 2018 and Brexit uncertainty.

‘We delivered solid earnings despite a slow start to the year following the turbulent markets in the fourth quarter. Even though risks to the global environment remain, markets have recovered and we are well positioned to serve our clients and invest in our businesses,’ said Gorman.

Despite the increase in revenue overall, Morgan Stanley’s Q1 earnings report wasn’t all positive. Morgan Stanley’s Q1 revenue in equities trading dropped to $2.02 billion and investment banking profits fell to $1.15 billion. The investment bank had decline in revenue from bond markets as well.

How did Morgan Stanley’s Q1 results compare to other bank stocks?

Morgan Stanley’s Q1 earnings are positive compared to Goldman Sachs earnings. Goldman Sachs had a mixed profits report, with high earnings and low revenue.

What does Morgan Stanley plan for Q2 profits?

The bank plans to increase Q2 earnings with its purchase of the online equity plan management company Solium Capital. Gorman spoke about how the acquisition will help Morgan Stanley’s profits.

‘Solium will enable us to bring together a major stock plan administration platform with the leading wealth management business and position us to be a top-tier provider in the workplace wealth space,’ said Gorman.

Morgan Stanley Q1 earnings show strength despite economic uncertainty

Morgan Stanley’s Q1 results grew because of higher interest income from lending to clients and the steadiness of its wealth management division. Morgan Stanley’s Q1 profits prove that the global economic volatility hasn’t affected all of the US big banks.

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