Morgan Stanley posts record Q1 2026 revenue on trading gains

Morgan Stanley posted grounds quarterly gross successful the archetypal 4th of 2026, with full gross rising 16% to $20.58 cardinal and nett jumping 29% to $5.57 billion, oregon $3.43 per share. Both figures topped expert expectations, according to LSEG estimates cited by CNBC.

The standout performer was equities trading, wherever gross surged to a grounds $5.15 billion, a 25% summation that came successful good up of expert estimates. Hedge money premier brokerage and derivatives enactment were identified by the steadfast arsenic the superior drivers of the gains. A 29% leap successful fixed income revenue, to $3.36 billion, was fueled successful portion by commodities desks that capitalized connected swings successful vigor prices — capable for Morgan Stanley to surpass Goldman Sachs successful that trading class during the period.

Fees from advisory enactment connected completed deals, on with equity and indebtedness issuance, lifted concern banking gross by 36% to $2.12 billion. Wealth absorption gross roseate 16% to a grounds $8.52 billion, with the steadfast pulling successful $118.4 cardinal successful nett caller assets, according to Bloomberg. Among the firm's concern lines, concern absorption was the lone 1 to disappoint, with gross declining 4.2% to $1.54 billion; Morgan Stanley pointed to reduced carried involvement connected backstage funds arsenic the explanation.

Total non-interest expenses came successful astatine $13.5 billion, up 12% year-over-year and somewhat supra forecasts, with the net connection showing $178 cardinal acceptable speech for severance arsenic the steadfast reduced headcount during the quarter, according to Bloomberg. Even so, the workforce number of 83,922 astatine the adjacent of the 4th was really higher than wherever it ended successful 2025.

The EquityZen deal, which closed during the quarter, marked Ted Pick's archetypal acquisition since taking implicit arsenic CEO; the level gives investors entree to shares of privately held companies. Fees connected the bulk of EquityZen transactions were chopped by 50% successful February arsenic Morgan Stanley moved to undercut rivals and turn the business, according to Bloomberg.

CFO Sharon Yeshaya said marketplace volatility during the 4th created an opening for the firm. "What it did for america is it truly provided an accidental for america to showcase advice," she told Bloomberg. On woody activity, Yeshaya said backlogs had remained steady: "The backlogs themselves person not changed materially. If thing there's a steadiness crossed that."

Morgan Stanley's results wrapper up first-quarter net for the largest U.S. banks. Earlier successful the week, Goldman Sachs reported a 14% gross increase, with its equities table mounting a grounds astatine $5.33 billion, and JPMorgan Chase disclosed a 13% nett summation underpinned by grounds markets gross of $11.6 billion; stock-trading records were acceptable crossed Goldman, JPMorgan, Bank of America, and Citigroup during the period, according to Bloomberg.