
Morgan Stanley (MS) · Banking
Morgan Stanley Q2 2026 earnings: summary, key numbers & outlook
Results filed 15 Jul 2026 · Quarter ended 30 Jun 2026
Press release ↗Investor relations ↗
Summaries and transcripts are machine-generated and can contain errors.
In brief
Morgan Stanley Reports Net Revenues of $21.3 Billion, EPS of $3.46 and ROTCE of 26.6%
Morgan Stanley had a record second quarter. Net revenues were $21.3 billion, up from $16.8 billion a year ago, and net income applicable to Morgan Stanley was $5.6 billion, or $3.46 per diluted share. Equities trading drove the gain, with revenue of $6,300 million versus $3,721 million. Investment banking rose 58%. Wealth Management added a record $148 billion in net new assets, just over half from client IPOs in its Workplace channel, and total client assets across Wealth and Investment Management reached $10 trillion.
The documents contain no numeric guidance for future quarters. Management said it continues to accrete capital, which gives it more flexibility to invest and return money to shareholders. The Board reauthorized a share repurchase program of up to $20 billion and raised the quarterly dividend by 15 cents to $1.15. The main tension is that the results leaned on active markets and IPO-related inflows. Fixed Income revenue fell 27% from the prior quarter, and the Standardized CET1 ratio slipped to 14.8% from 15.1%.
Key numbers
- Net revenues · GAAP
- $21.3 billion
- Net income applicable to Morgan Stanley · GAAP
- $5.6 billion
- Earnings per diluted share · GAAP
- $3.46
- Return on tangible common equity · non-GAAP
- 26.6%
- Pre-tax income · GAAP
- $7.3B
- Standardized CET1 capital ratio
- 14.8%
compared with $16.8 billion a year ago
compared with $3.5 billion a year ago
compared with $2.13 a year ago
compared with 18.2% a year ago
compared with $4,622 a year ago
compared with 15.0% a year ago
| Segment or metric | Value | Change |
|---|---|---|
| Institutional Securities net revenues | $11.0B | compared with $7,643 a year ago |
| Equity net revenues | $6.3B | up 69% |
| Wealth Management net revenues | $8.9B | compared with $7,764 a year ago |
| Wealth Management net new assets | $148.1 | compared with $59.2 a year ago, in $ billions |
| Investment Management net revenues | $1.6B | up 6% |
| Investment Management AUM | $2,004 | compared with $1,713 a year ago, in $ billions |
Where each number comes from
- Net revenues: “Morgan Stanley (NYSE: MS) today reported net revenues of $21.3 billion for the second quarter ended June 30, 2026 compared with $16.8 billion a year ago.”
- Net income applicable to Morgan Stanley: “Net income applicable to Morgan Stanley was $5.6 billion, or $3.46 per diluted share, compared with $3.5 billion, or $2.13 per diluted share, for the same period a year ago.”
- Earnings per diluted share: “Net income applicable to Morgan Stanley was $5.6 billion, or $3.46 per diluted share, compared with $3.5 billion, or $2.13 per diluted share, for the same period a year ago.”
- Return on tangible common equity: “Return on equity | 20.7% | 13.9% Return on tangible common equity6 | 26.6% | 18.2% Institutional Securities Net revenues | $11,040 | $7,643”
- Pre-tax income: “Provision for credit losses | $98 | $196 Compensation expense | $8,187 | $7,190 Non-compensation expenses | $5,715 | $4,784 Pre-tax income4 | $7,348 | $4,622”
- Standardized CET1 capital ratio: “The Standardized Common Equity Tier 1 capital ratio was 14.8%.14 •Institutional Securities reported record net revenues of $11.0 billion reflecting strong performance in Equity”
- Institutional Securities net revenues: “Institutional Securities Net revenues | $11,040 | $7,643 Investment Banking | $2,437 | $1,540 Equity | $6,300 | $3,721 Fixed Income | $2,455 | $2,180”
- Equity net revenues: “Investment Banking | $2,437 | $1,540 Equity | $6,300 | $3,721 Fixed Income | $2,455 | $2,180 Wealth Management Net revenues | $8,856 | $7,764”
- Wealth Management net revenues: “Wealth Management Net revenues | $8,856 | $7,764 Fee-based client assets ($ billions)7 | $3,022 | $2,478 Fee-based asset flows ($ billions)8 | $39.1 | $42.8”
- Wealth Management net new assets: “Fee-based asset flows ($ billions)8 | $39.1 | $42.8 Net new assets ($ billions)9 | $148.1 | $59.2 Loans ($ billions) | $195.7 | $168.9”
- Investment Management net revenues: “Investment Management Net revenues | $1,646 | $1,552 AUM ($ billions)10 | $2,004 | $1,713 Long-term net flows ($ billions)11 | $7.5 | $12.2”
- Investment Management AUM: “Investment Management Net revenues | $1,646 | $1,552 AUM ($ billions)10 | $2,004 | $1,713 Long-term net flows ($ billions)11 | $7.5 | $12.2”
Copied from the press release ↗ and other documents in the SEC filing ↗. A figure is published only if its sentence is in the filing.
| From the filing | Q2 2026 | vs year ago | vs last quarter |
|---|---|---|---|
| Revenue | $21.3B | +27.1% | +3.7% |
| Net income | $5.6B | +57.7% | +0.3% |
| Diluted EPS | $3.46 | +62.4% | +0.9% |
Calculated by code from XBRL, not by the model.
Key takeaways
Record revenue and EPS on active markets
Net revenues were $21.3 billion versus $16.8 billion a year ago, and EPS was $3.46 versus $2.13. The release called both records.
Equity trading drove Institutional Securities
Equity net revenues were $6,300 million versus $3,721 million, up 69%. Investment Banking rose 58% and Fixed Income rose 13%.
Wealth Management inflows hit a record
Net new assets were $148.1 billion versus $59.2 billion a year ago. Just over half were inflows related to client IPOs in the Workplace channel.
Shareholder returns increased
The Board reauthorized a repurchase program of up to $20 billion and raised the quarterly dividend by 15 cents to $1.15. The firm repurchased $1.5 billion of stock in the quarter.
Capital ratios eased as the balance sheet grew
The Standardized CET1 ratio was 14.8% versus 15.1% last quarter, and the SLR was 4.9% versus 5.0%. Risk-weighted assets rose to $589.8 billion from $559.1 billion.
Charts
Fourth quarter worked out from the annual figure.
Data
| Q4 2024 | $16.2B * |
| Q1 2025 | $17.7B |
| Q2 2025 | $16.8B |
| Q3 2025 | $18.2B |
| Q4 2025 | $17.9B * |
| Q1 2026 | $20.6B |
| Q2 2026 | $21.3B |
| Q3 2026 | $20.3B |
Data
| Q1 2025 | $2.60 |
| Q2 2025 | $2.13 |
| Q3 2025 | $2.80 |
| Q1 2026 | $3.43 |
| Q2 2026 | $3.46 |
| Q3 2026 | $3.03 |
Fourth-quarter EPS appears once the press release is read; filings report it only for the full year.
Questions
What were Morgan Stanley's second quarter 2026 results?
Net revenues were $21.3 billion and net income applicable to Morgan Stanley was $5.6 billion, or $3.46 per diluted share. A year earlier, revenues were $16.8 billion and EPS was $2.13.
What was Morgan Stanley's return on tangible common equity?
ROTCE was 26.6%, up from 18.2% a year ago. Return on equity was 20.7% versus 13.9%.
How did Morgan Stanley's three business segments perform?
Institutional Securities had net revenues of $11,040 million, Wealth Management $8,856 million and Investment Management $1,646 million, in each case higher than a year ago. Equity revenue of $6,300 million was the biggest driver.
What is Morgan Stanley doing with capital?
It repurchased $1.5 billion of stock, reauthorized a program of up to $20 billion starting in the third quarter of 2026 and raised the quarterly dividend to $1.15. Its Standardized CET1 ratio was 14.8%.
Did Morgan Stanley give financial guidance for the next quarter?
The documents provided contain no numeric guidance for the next quarter or the full year. Management only said it continues to accrete capital, which gives it more flexibility to invest.
Documents
SEC filing