Morgan Stanley's Strong Q3 Results Driven by Strength in Investment Banking, Trading, RBC Says

11:58 AM EDT, 10/15/2026 (MT Newswires) -- Morgan Stanley (MS) reported strong Q3 results, driven by its investment banking and trading businesses, and could boost shareholder returns through share repurchases and higher dividends given its robust excess capital position, RBC Capital Markets said Wednesday in a note. The company reported Q3 earnings per share of $3.03 on net revenue of $20.3 billion, up 8% and 12% year-over-year, respectively. Equities revenue increased 41% to $5.8 billion on broad-based strength across businesses and regions, especially Asia. Wealth Management also delivered record net revenues of $9.1 billion, while net new assets were a record $232 billion, according to the note. RBC revised its 2026 and 2027 EPS estimates to $12.92 and $13.40 from $12.68 and $13.20, respectively. RBC kept a sector perform rating on Morgan Stanley and lowered its price target to $195 from $243. Price: 179.98, Change: -1.54, Percent Change: -0.85