Morgan Stanley Exceeds Expectations with Strong Q4 Results
People walk past Morgan Stanley global headquarters in Manhattan on March 20, 2025 in New York City.
Spencer Platt | Getty Images
Morgan Stanley on Thursday reported fourth-quarter results that exceeded Wall Street expectations on the back of strong revenue from wealth management. The company’s earnings per share were $2.68, surpassing the expected $2.44, while revenue reached $17.89 billion, beating the anticipated $17.77 billion.
Key Financial Highlights
The bank’s fourth-quarter net income rose to $4.40 billion, or $2.68 per share, from $3.71 billion, or $2.22 per share, a year ago. Revenue increased to $17.89 billion from $16.22 billion a year ago. The wealth management unit posted $8.4 billion in net revenue in the most recent quarter, up from $7.5 billion a year earlier. For the full year, the division generated a record $31.8 billion in net revenue.
Total client assets in the wealth and investment management business climbed to $9.3 trillion, fueled by more than $350 billion in net new assets. “Morgan Stanley delivered outstanding performance in 2025,” Ted Pick, the bank’s CEO and chairman, said in a statement. “Our performance reflects multi-year investments which have contributed to growth and momentum across the Integrated Firm.”
Investment Banking and Share Repurchase
Investment banking was also a standout for the firm. Net revenue for the segment jumped 47% to $2.41 billion from $1.64 billion a year earlier, driven by stronger advisory fees as completed M&A activity increased across all regions. The firm bought back $1.5 billion of its stock during the quarter and $4.6 billion over the full year under its share repurchase program.
Morgan Stanley shares have gained 38% over the past 12 months, but have fallen nearly 3% so far this week as other big banks reported their results. Although earnings reports have been solid, shares have largely pulled back after strong runs. Other major banks, such as JPMorgan Chase, Wells Fargo, Bank of America, and Citigroup, have also reported their quarterly results, with mixed performances.
Smart Tip for Readers
When evaluating a company’s financial performance, it’s essential to consider multiple factors, including revenue growth, net income, and client assets, to get a comprehensive understanding of its overall health and potential for future growth. For more information on Morgan Stanley’s Q4 2025 earnings, visit Here
