Morgan Stanley Earnings Top Estimates on Equity Trading

Morgan Stanley (MS) reported third-quarter 2026 results on Oct. 14, as a surge in equities trading lifted revenue and earnings per share, offsetting weakness in fixed-income trading.

Equities Trading Drives Upside

For the quarter ended Sept. 30, 2026, Morgan Stanley reported net revenue of $20.3 billion, up about 12% year over year. Diluted earnings per share rose to $3.03 from $2.80 a year earlier.

Equities trading revenue jumped 41% year over year to roughly $5.8 billion, exceeding estimates by about $909 million. The firm cited broad strength across equity products and regions, with particularly strong performance in Asia.

Fixed Income and Investment Banking

Fixed-income trading revenue declined about 7% year over year to approximately $2.0 billion, falling roughly $260 million short of estimates. The decline was driven by weakness in credit and commodities.

Investment-banking revenue increased 2% to about $2.2 billion. Advisory fees benefited from more completed mergers, while equity underwriting declined amid fewer initial public offerings, and fixed-income underwriting also fell. This segment missed estimates by about $110 million.

Form 8-K Filing and Market Estimates

Morgan Stanley announced its third-quarter results via Business Wire on Oct. 14, 2026, stating it would file a Form 8-K with the Securities and Exchange Commission the same day and scheduled a conference call.

Market consensus estimates varied, with one showing earnings per share near $2.91 and revenue close to $20.0 billion. Other estimates ranged from $2.83 to $2.93 for EPS and $19.9 billion to $20.0 billion for revenue.

The strong equities trading revenue drove the firm’s overall upside, offsetting declines in fixed-income trading and shortfalls in parts of investment banking.

"Morgan Stanley today announced its third quarter 2026 financial results."