Sunday, April 22, 2007

Morgan Stanley expectation

As last week big rivals Meryll Lynch ( MER) and J.P. Morgan (JPM) beat the street for Q1 (EPS 2.40), altogether with amazing Q4 there is a strong potential for Morgan Stanley (MS). Even if Q2 is not seasonally the best one, analyst expectations (EPS 1.63-2.23) are quite low and we can be at least at the higher of this range.
Company is also nowadys traded at very good discount. P/E 10 is the lowest in industry together with Goldam Sachs (GS). Market price is approaching all time high reached on February before "China sell-off".
sentiment: buy

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