Latest Ratios: P/E Ratio 21.8x · EV/EBITDA 26.8x · ROE 15.5%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $350.2B | $282.8B | $202.5B | $153.5B | $145.6B | $178.1B | $111.3B | $83.8B | $68.9B | $95.5B | $79.7B |
| Enterprise Value | $714.1B | $646.7B | $487.3B | $433.9B | $361.6B | $396.6B | $327.4B | $295.7B | $266.0B | $309.7B | $288.1B |
| P/E Ratio → | 21.77 | 17.40 | 15.81 | 18.00 | 13.82 | 12.22 | 10.61 | 9.85 | 8.38 | 17.04 | 14.47 |
| P/S Ratio | 3.05 | 2.46 | 1.96 | 1.74 | 2.33 | 3.08 | 2.24 | 1.63 | 1.44 | 2.30 | 2.21 |
| P/B Ratio | 3.14 | 2.51 | 1.92 | 1.54 | 1.44 | 1.67 | 1.08 | 1.01 | 0.85 | 1.22 | 1.03 |
| P/FCF | 7.60 | 6.13 | — | — | — | 5.62 | — | 2.15 | 12.67 | — | 68.08 |
| P/OCF | 7.15 | 5.77 | 148.70 | — | — | 5.24 | — | 2.06 | 9.43 | — | 32.58 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 5.62 | 4.72 | 4.91 | 5.79 | 6.86 | 6.59 | 5.75 | 5.56 | 7.45 | 8.00 |
| EV / EBITDA | 26.83 | 24.30 | 21.41 | 27.00 | 19.99 | 16.60 | 18.00 | 21.21 | 20.33 | 25.47 | 27.22 |
| EV / EBIT | 32.53 | 29.46 | 27.69 | 36.73 | 25.67 | 20.16 | 22.71 | 26.17 | 23.67 | 29.77 | 32.56 |
| EV / FCF | — | 14.03 | — | — | — | 12.53 | — | 7.59 | 48.89 | — | 246.00 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 57.1% | 57.1% | 55.6% | 56.8% | 79.9% | 97.6% | 90.7% | 75.6% | 78.9% | 86.3% | 90.8% |
| Operating Margin | 19.1% | 19.1% | 17.1% | 13.4% | 22.6% | 34.0% | 29.0% | 22.0% | 23.5% | 25.0% | 24.6% |
| Net Profit Margin | 14.7% | 14.7% | 13.0% | 10.3% | 17.7% | 26.0% | 22.1% | 17.6% | 18.3% | 14.7% | 16.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 15.5% | 15.5% | 13.0% | 9.0% | 10.6% | 14.3% | 11.8% | 11.0% | 10.9% | 7.9% | 7.8% |
| ROA | 1.3% | 1.3% | 1.1% | 0.8% | 0.9% | 1.3% | 1.1% | 1.0% | 1.0% | 0.7% | 0.7% |
| ROIC | 3.1% | 3.1% | 2.9% | 2.1% | 2.6% | 3.7% | 3.0% | 2.5% | 2.5% | 2.3% | 2.1% |
| ROCE | 3.3% | 3.3% | 3.8% | 2.7% | 3.4% | 4.8% | 3.9% | 3.4% | 3.4% | 3.2% | 2.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 4.22 | 4.22 | 3.42 | 3.39 | 3.05 | 2.86 | 2.75 | 3.16 | 3.06 | 3.32 | 3.26 |
| Debt / EBITDA | 17.87 | 17.87 | 15.84 | 21.10 | 17.07 | 12.78 | 15.59 | 18.76 | 19.03 | 21.41 | 23.78 |
| Net Debt / Equity | — | 3.23 | 2.70 | 2.80 | 2.13 | 2.05 | 2.09 | 2.56 | 2.42 | 2.73 | 2.70 |
| Net Debt / EBITDA | 13.67 | 13.67 | 12.51 | 17.45 | 11.94 | 9.15 | 11.88 | 15.19 | 15.06 | 17.61 | 19.68 |
| Debt / FCF | — | 7.89 | — | — | — | 6.90 | — | 5.44 | 36.22 | — | 177.92 |
| Interest Coverage | 0.45 | 0.45 | 0.39 | 0.31 | 1.15 | 14.40 | 3.75 | 0.91 | 1.11 | 1.83 | 2.67 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.17 | 1.17 | 0.66 | 0.72 | 0.72 | 0.77 | 0.80 | 0.76 | 0.79 | 0.72 | 0.73 |
| Quick Ratio | 1.17 | 1.17 | 0.66 | 0.72 | 0.72 | 0.77 | 0.80 | 0.76 | 0.79 | 0.72 | 0.73 |
| Cash Ratio | 0.20 | 0.20 | 0.10 | 0.08 | 0.12 | 0.11 | 0.09 | 0.09 | 0.10 | 0.09 | 0.09 |
| Asset Turnover | — | 0.08 | 0.08 | 0.07 | 0.05 | 0.05 | 0.04 | 0.06 | 0.06 | 0.05 | 0.04 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.9% | 2.3% | 3.0% | 3.8% | 3.7% | 2.3% | 2.5% | 3.1% | 3.4% | 2.2% | 2.2% |
| Payout Ratio | 39.1% | 39.1% | 45.8% | 63.4% | 49.0% | 27.7% | 24.9% | 29.1% | 27.1% | 34.1% | 29.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.6% | 5.7% | 6.3% | 5.6% | 7.2% | 8.2% | 9.4% | 10.2% | 11.9% | 5.9% | 6.9% |
| FCF Yield | 13.2% | 16.3% | — | — | — | 17.8% | — | 46.5% | 7.9% | — | 1.5% |
| Buyback Yield | 1.7% | 2.1% | 2.1% | 4.0% | 7.5% | 6.8% | 1.7% | 7.1% | 8.1% | 4.5% | 4.9% |
| Total Shareholder Yield | 3.5% | 4.4% | 5.1% | 7.8% | 11.2% | 9.1% | 4.2% | 10.2% | 11.5% | 6.7% | 7.1% |
| Shares Outstanding | — | $1.6B | $1.6B | $1.6B | $1.7B | $1.8B | $1.6B | $1.6B | $1.7B | $1.8B | $1.9B |
Market-Driven Asset Volatility
Based on reported figures, Morgan Stanley trades at a P/E of 20.79, which suggests the market assigns a premium valuation relative to peers like JPMorgan Chase, likely reflecting investor confidence in the firm's transition toward recurring, fee-based wealth management revenue streams over traditional institutional trading volatility.
The current forward P/E of 17.80 implies that investors are pricing in sustained growth, yet the PEG ratio of 2.17 warrants caution regarding the pace of future earnings expansion. This valuation appears to hinge on the market's perception of the firm as a hybrid wealth-tech entity rather than a pure-play investment bank.
As reported in financial statements, Morgan Stanley's ROIC has remained constrained between 0.4% and 1.0% over the last ten quarters, indicating that the firm is struggling to compound returns on its capital base compared to the more efficient performance of diversified banking peers like JPMorgan Chase.
The persistent low ROIC suggests that the capital-intensive nature of the institutional securities segment continues to dilute the higher-margin returns generated by the wealth management business. Investors should monitor whether the integration of recent acquisitions can eventually drive a meaningful improvement in these capital efficiency metrics.
According to recent SEC filings, the firm's asset turnover remains consistently low at 0.02, which reflects the unique balance sheet structure of a capital markets firm where massive asset holdings are required to support trading operations rather than traditional inventory-based manufacturing or service-based revenue generation.
The lack of meaningful DIO or DPO data highlights that standard working capital metrics are largely irrelevant for this business model. Instead, the focus should remain on the compensation-to-revenue ratio, which serves as the primary lever for managing operational efficiency in a talent-dependent industry.
Based on the provided data, Morgan Stanley has maintained a debt-to-equity ratio fluctuating between 3.39 and 4.22, suggesting that management is successfully balancing the need for capital to support institutional activities while maintaining a stable equity buffer to protect against periods of heightened market volatility.
The interest coverage ratio, which has hovered at low levels, indicates that debt service remains a sensitive area that warrants further investigation during periods of rising rates. The firm's ability to maintain this leverage profile while returning capital to shareholders suggests a conservative approach to balance sheet risk.
The most commonly misapplied ratio for Morgan Stanley is asset turnover, which analysts often use to gauge operational efficiency, yet this metric fails to account for the massive, non-operating financial assets held on the balance sheet that are inherent to the firm's capital markets business model.
Using asset turnover to compare Morgan Stanley against non-financial firms obscures the reality that the firm's assets are primarily financial instruments rather than productive capital. A more appropriate metric for assessing efficiency would be the operating margin or the compensation-to-revenue ratio, which better reflects the firm's true earning power.
Includes 30+ ratios · 30 years · Updated daily
Wall Street verdict, signals, and target summaries.
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Quick answers to the most common questions about buying MS stock.
Morgan Stanley's current P/E ratio is 21.8x. The historical average is 13.4x. This places it at the 93th percentile of its historical range.
Morgan Stanley's current EV/EBITDA is 26.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 37.4x.
Morgan Stanley's return on equity (ROE) is 15.5%. The historical average is 12.9%.
Based on historical data, Morgan Stanley is trading at a P/E of 21.8x. This is at the 93th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Morgan Stanley's current dividend yield is 1.86% with a payout ratio of 39.1%.
Morgan Stanley has 57.1% gross margin and 19.1% operating margin. Operating margin between 10-20% is typical for established companies.
Morgan Stanley's Debt/EBITDA ratio is 17.9x, indicating high leverage. A ratio above 4x may signal elevated financial risk.