Stock Research Report for MS as of 8/17/11 - Chaikin Power Tools

Page 1

Morgan Stanley (MS)

Price: $17.08

Industry: Invest BKRS-MGRS Chaikin Power Gauge Report | Generated: Wed Aug 17 10:47 EDT 2011 MS Morgan Stanley

$17.08

Power Gauge Rating

MS - Neutral TM

The Chaikin Power Gauge Rating for MS is neutral and reflects average financial metrics, weak earnings performance, neutral price/volume activity and negative expert opinions.

Financial Metrics

An appraisal of MS's financial metrics show a low price to book value. Earnings Performance

MS's earnings performance is weak as a result of a relatively poor trend in earnings this year.

Price/Volume Activity

Expert Opinions

News Sentiment Rating

Neutral MS Morgan Stanley

August 16, 2011

TM

Chaikin Sentiment Gauge for MS is neutral. Stories concerning MS have a balanced or neutral sentiment.

News Sentiment :Neutral

Power Trend - 5 Year Chart

The Power Gauge distills a 20 factor model into a concise picture of a stock's potential.

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High Potential

Neutral

Low Potential

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Financials & Earnings

Financial Metrics

Financial Metrics Rating

Neutral

LT Debt/Equity Ratio

MS's financial metrics are neutral. The company may be undervalued and is carrying too much long term debt.

Price to Book Value

The rank is based on a high long term debt to equity ratio, low price to book value, low return on equity, high price to sales ratio and relatively high cash flow.

Return on Equity

Price to Sales Ratio

Business Value

Assets and Liabilities

Valuation

Returns

Ratio

TTM

Ratio

TTM

Ratio

TTM

Current Ratio

0.84

Price/Book

0.40

Return on Invest

1.3%

LT Debt/Equity

3.45

Price/Sales

0.83

Return on Equity

5.6%

Earnings Performance

Earnings Performance Rating

Bearish

Earnings Growth

MS's earnings performance has been weak. The company experienced relatively poor earnings growth in the past 12 months and has an erratic 5 year earnings trend.

Earnings Surprise

Earnings Trend

The rank is based on poor EPS growth over the past 3-5 years, better than expected earnings in recent quarters, a relatively poor trend in earnings this year, a relatively low projected P/E ratio and inconsistent earnings over the past 5 years.

Projected P/E Ratio

Earnings Consistency

5 Year Revenue and Earnings Growth

Revenue(M) Rev % Growth EPS EPS % Growth

EPS Estimates

12/06

12/07

12/08

12/09

12/10

33,858.00

85,328.00

61,883.00

23,358.00

31,622.00

26.44%

152.02%

-27.48%

-62.25%

35.38%

$7.38

$3.13

$1.54

$-0.76

$2.64

81.77%

-57.59%

-50.80%

-149.35%

447.37%

EPS Surprise

Factor

Actual EPS Prev

EST EPS Current

Change

$-0.07

$0.48

+0.55

Quarterly EPS Yearly EPS Factor

$2.64

$1.26

-1.38

Actual EPS Growth

Est EPS Growth

Change

24.82%

10.00%

-14.82

3-5 year EPS

EPS Quarterly Results Estimate

Actual

Difference

% Difference

Latest Qtr

$-0.63

$-0.38

$0.25

39.68

1 Qtr Ago

$0.34

$0.46

$0.12

35.29

2 Qtr Ago

$0.35

$0.43

$0.08

22.86

3 Qtr Ago

$0.19

$0.05

$-0.14

-73.68

FY

Qtr 1

Qtr 2

Qtr 3

Qtr 4

Total

12/09

$-0.57

12/10

$1.07

$-1.10

$0.39

$0.29

$-0.99

$1.20

$-0.07

$0.42

$2.62

12/11

$0.51

$-0.38

-

-

-

Fiscal Year End Month is December.

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Price Trend & Expert Opinions Price/Volume Activity

Price/Volume Activity Rating

Neutral

Relative Strength vs Market

Chaikin Money Flow

Price and volume activity for MS is neutral. MS is in an accelerating price trend compared to 4 months ago and has underperformed the S&P 500 over 26 weeks.

Price Trend

The rank for MS is based on its relative weakness versus the market, negative Chaikin money flow, a negative Chaikin price trend, a positive Chaikin price trend ROC and an increasing volume trend.

Price Trend ROC

Volume Trend

Relative Strength vs S&P500 Index

Chaikin Money Flow

Chart shows whether MS is performing better or worse than the market.

Chaikin Money Flow analyzes supply and demand for a company's stock.

Price Activity

Price Activity

Volume Activity

Factor

Value

Factor

52 Week High

30.99

% Change Price - 4 Weeks

-18.64%

Average Volume 20 Days

31,816,330

52 Week Low

16.45

% Change Price - 24 Weeks

-40.77%

Average Volume 90 Days

18,747,194

% Change YTD Rel S&P 500

-33.78%

Expert Opinions

-35.13%

Chaikin Money Flow Persistency

23%

Expert opinions about MS are negative. Analysts are lowering their EPS estimates for MS and MS has been under-performing the Invest BKRS-MGRS industry over the past 13 weeks.

Insider Activity

The rank for MS is based on analysts revising earnings estimates downward, a low short interest ratio, insiders purchasing stock, pessimistic analyst opinions and relative weakness of the stock versus the Invest BKRS-MGRS industry group.

Analyst Opinions

Relative Strength vs Industry

Earnings Estimate Revisions Current 0.48 0.56 Current Current FY

-9.50%

% Change Price - 24 Wks Rel to S&P

Value

Bearish

Short Interest

Next Qtr

% Change Price - 4 Wks Rel to S&P

Factor

Expert Opinions

Earnings Estimate Revisions

Current Qtr

Value

1.26

Analyst Recommendations

7 Days Ago % Change 0.48 0.57

0.00% -1.75%

30 Days Ago % Change 1.07

0.19

Factor Mean this Week Mean Last Week

EPS Estimates Revision Summary Value

Buy 0.00

Mean 5 Weeks Ago

Buy

Last 4 Weeks

Down

Up

Down

Curr Qtr

0

0

5

5

Curr Yr

0

1

10

1

Next Qtr

0

1

6

4

Next Yr

0

1

4

6

Buy

Change

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Last Week Up

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The Company & Its Competitors

News Headlines for MS

MS's Competitors in Invest BKRS-MGRS Historic EPS growth

Projected EPS growth

Profit Margin

PEG

PE

Revenue(M)

Forest Labs plans to buy back $350M in stock Aug 16, 2011

24.82%

10.00%

9.93%

1.36

30.48

31,622

INTL

998.08%

-

0.05%

-

13.76

46,940

Forest Labs plans to buy back $350M in stock Aug 16, 2011

NMR

46.97%

87.13%

3.08%

0.24

29.64

16,626

RJF

14.49%

12.00%

8.37%

1.01

12.28

2,980

JEF

18.36%

15.00%

-

0.71

-

2,797

SCHW

-0.34%

16.00%

15.78%

1.00

20.77

4,248

3.96%

11.33%

21.07%

0.89

11.48

39,161

Company

Power Gauge

MS

GS

News Corp. stock up after 4Q beat, buyback plan - Aug 11, 2011 DealBook: Bowing to Citadel, E*Trade Hires Goldman Sachs - Aug 8, 2011 DealBook: Morgan Stanley C.E.O. Buys $2 Million of Firm's Stock - Aug 4, 2011

Company Details

Company Profile

MORGAN STANLEY 1585 BROADWAY NEW YORK, NY 10036 USA Phone: 212-761-4000 Fax: 212-761-0086 Website: http://http://www.morganstanley.co m Full Time Employees: 62,542 Sector: Finance

MORGAN STANLEY is a preeminent global financial services firm that maintains leading market positions in each of its three primary businesses: securities; asset management; and credit services. The company combines global strength in investment banking and institutional sales and trading with strength in providing full-service and on-line brokerage services, investment and global asset management services and, primarily through its Discover Card brand, quality consumer credit products.

Power Gauge Ratings are created using a relative ranking system that assigns a rank of 0 to 100 (100 being the highest) to each stock in the universe. Rank is calculated by evaluating each of the stocks factors and combining them into a single number using a weighting formula. A stock's rank ranges from 100-0, where 100 is the strongest, and a rank of 95 indicates the stock is better than 95% of the stocks in the universe. Chaikin Stock Research(CSR) is not registered as a securities broker dealer or investment advisor with either the U.S. Securities and Exchange Commission or with any state securities regulatory authority. CSR is not responsible for trades executed by users of this research report, our web site or mobile app based on the information included herein. The information presented in this report does not represent a recommendation to buy or sell stocks or any financial instrument nor is it intended as an endorsement of any security or investment. The information in this report is generic by nature and is not personalized to the specific financial situation of any individual. The user bears complete responsibility for their own investment research and should seek the advice of a qualified investment professional before making any investment decisions. Copyright (c) 1978-(Present) by ZACKS Investment Research, Inc ("ZACKS"). The information, data, analyses and opinions contained herein (1) includes the confidential and proprietary information of ZACKS, (2) may not be copied or redistributed, for any purpose, (3) does not constitute investment advice offered by ZACKS, (4) are provided solely for informational purposes, and (5) are not warranted or represented to be correct, complete, accurate or timely. ZACKS shall not be responsible for investment decisions, damages or other losses resulting from, or related to, use of this information, data, analyses or opinions. Past performance is no guarantee of future performance. ZACKS is not affiliated with Chaikin Power Tools. This report from Chaikin Power Tools is for informational purposes only and is not a recommendation to buy or sell securities.

LM 2.3 DS 3.0 LS 2.1

Data Provided by ZACKS Investment Research, Inc., www.zacks.com

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