Morgan Stanley

MS Q2 2025 Earnings

Reported Jul 16, 2025 at 7:59 AM ET · SEC Source

Q2 25 EPS

$2.13

BEAT +5.81%

Est. $2.01

Q2 25 Revenue

$16.79B

BEAT +4.68%

Est. $16.04B

vs S&P Since Q2 25

+25.9%

BEATING MARKET

MS +41.4% vs S&P +15.4%

Market Reaction

Did MS Beat Earnings? Q2 2025 Results

Morgan Stanley closed out a strong second quarter, posting diluted EPS of $2.13 against a consensus estimate of $2.01, a beat of 5.81%, while net revenues of $16.79 billion cleared the $16.04 billion forecast by 4.68% and rose 12% year-over-year. Inv… Read more Morgan Stanley closed out a strong second quarter, posting diluted EPS of $2.13 against a consensus estimate of $2.01, a beat of 5.81%, while net revenues of $16.79 billion cleared the $16.04 billion forecast by 4.68% and rose 12% year-over-year. Investors tracking the release saw broad-based contributions across all three business segments drive the outperformance, with Equity trading serving as the single most powerful engine, surging 23% year-over-year to $3.72 billion on elevated client activity and prime brokerage strength. Wealth Management added further ballast, generating $7.76 billion in net revenues, up 14%, while pulling in $59.20 billion in net new assets and pushing total client assets across Wealth and Investment Management to $8.20 trillion. Return on tangible common equity reached 18.2% for the quarter and 20.6% for the first half of 2025, reinforcing the firm's narrative of consistent profitability, a theme CEO Ted Pick credited to six consecutive quarters of steady earnings delivery under the Integrated Firm model.

Key Takeaways

  • Higher client activity across Equity trading businesses and regions, with robust prime brokerage results
  • Higher macro product activity in Fixed Income driven by more volatile market environment
  • Wealth Management asset management revenues increased on higher asset levels and cumulative positive fee-based flows
  • Wealth Management transactional revenues increased 17% excluding DCP on broad-based increase in client activity
  • Wealth Management net interest income increased from cumulative impact of lending growth
  • Investment Management asset management fees increased on higher average AUM from market levels and positive long-term net flows
  • Higher accrued carried interest in infrastructure funds for Investment Management
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MS YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

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MS Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26
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MS Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“Morgan Stanley delivered another strong quarter. Six sequential quarters of consistent earnings – $2.02, $1.82, $1.88, $2.22, $2.60 and $2.13 – reflect higher levels of performance in different market environments. Institutional Securities saw strength and balance across businesses and geographies. Wealth continues to deliver, adding $59 billion of net new assets and $43 billion of fee-based flows. Total client assets across Wealth and Investment Management reached $8.2 trillion. We announced an increase of our quarterly common stock dividend to $1.00 per share with flexibility to deploy incremental capital. The management team is executing across the Integrated Firm, acting as a trusted advisor to clients and driving durable growth and long-term returns for our shareholders.”

— Ted Pick, Q2 2025 Earnings Press Release