Morgan Stanley (MS) Boosts Dividend and Announces $20B Buyback Program

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Jul 01, 2025
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  • Morgan Stanley boosts quarterly dividend by 8.1%, showcasing financial strength post-2025 stress test.
  • New $20 billion stock buyback plan authorised, starting Q3 2025, propelling shares upwards.
  • Analyst and GuruFocus forecasts suggest a downside from current stock levels.

Morgan Stanley (MS, Financial) has announced a notable 8.1% increase in its quarterly dividend, raising it to $1.00 per share. This decision follows the bank's successful navigation of the 2025 Federal Reserve stress test. In addition to rewarding shareholders with increased dividends, Morgan Stanley has also reauthorized a robust multi-year stock buyback plan of up to $20 billion. This plan is set to kick off in the third quarter of 2025, contributing to a 1% rise in share prices post-announcement.

Wall Street Analysts Forecast

Market projections from 16 analysts indicate an average target price of $129.38 for Morgan Stanley (MS, Financial), with estimates ranging from a high of $156.00 to a low of $110.00. This average price target reflects a potential downside of 8.29% from the current stock price of $141.07. Investors seeking more granular estimate details can visit the Morgan Stanley (MS) Forecast page.

The consensus from 23 brokerage firms currently places Morgan Stanley (MS, Financial) at an average brokerage recommendation of 2.6, denoting a "Hold" status within a rating scale where 1 represents a Strong Buy and 5 suggests a Sell.

GF Value Analysis

According to GuruFocus estimates, the anticipated GF Value for Morgan Stanley (MS, Financial) in the next year is calculated at $125.56. This indicates a potential downside of 10.99% from the current trading price of $141.07. The GF Value is an insightful metric from GuruFocus, which estimates the fair value at which a stock should ideally trade. This valuation takes into account the historical trading multiples, past growth trajectories, and future performance expectations of the business. For more comprehensive data, investors are encouraged to review the Morgan Stanley (MS) Summary page.

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Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.