Morgan Stanley Shares Top- and Bottom-Line Beat

The company did see an 11% drop in earnings since last year, though

Deputy Editor
Apr 14, 2022 at 10:00 AM
facebook twitter linkedin

Morgan Stanley (NYSE:MS) stock is on the rise today after the company reported first-quarter earnings of $2.02 per share on $14.8 billion in revenue, beating analysts' expectations on both fronts. While its earnings did see an 11% year-over-year drop, the firm cited strong revenue from its equity fixed income trading for the beat, with fixed income revenue coming in at $2.9 billion and topping expectations. MS was last seen up 2.8% to trade at $86.55. 

The stock is still sitting well below its year-to-date breakeven, down 14.3% heading into today, though it's managed a second bounce off the $82 level, which also captured an early March pullback. Still, several trendlines loom as potential resistance on the charts, including the 40-day moving average that served as a ceiling for MS' rally late last month. 

It's worth noting that a short-term bounce may have already been in the cards for MS. This is because the equity's 140-day relative strength index (RSI) of 19 sits firmly in "oversold" territory. 

Analysts are split on the equity, with eight saying "buy" or better, and eight saying "hold." Short sellers, meanwhile, have hit the exits over the past two weeks, shedding 15.9% in the last reporting period. 



Special Offers from Schaeffer's Trading Partners