Morgan Stanley (NYSE:MS) shares moved higher after the bank’s fourth quarter revenue topped estimates, driven by strength in its investment banking segment.
Shares of Morgan Stanley (NYSE:MS) had gained 1.2% at US$90.81 before the stock market opened on Tuesday.
For the quarter ended December 31, 2023, Morgan Stanley (NYSE:MS) posted revenue of $12.9 billion, above Wall Street estimates of $12.7 billion.
Revenue from investment banking rose from $4.8 billion in the year-ago quarter to $4.9 billion.
However, its earnings per share of $0.85 were down from $1.26 in the year-ago quarter and missed expectations of $1.05 per share.
Dragging on its profits were two one-time regulatory charges, $286 million related to a Federal Deposit Insurance Corporation special assessment and a $249 million legal charge.
For the full year, Morgan Stanley (NYSE:MS) reported revenues of $54.1 billion, down from $53.7 billion for the previous year but above estimates of $53.39 billion.
Earnings were below estimates of $5.40 per share at $5.18 per share, down from $6.15 per share for 2022.
"In 2023, the Firm reported a solid return on tangible equity (ROTCE) against a mixed market backdrop and a number of headwinds,” Morgan Stanley (NYSE:MS) CEO Ted Pick said in a statement.
“We begin 2024 with a clear and consistent business strategy and a unified leadership team.”