Morgan Stanley’s SpaceX IPO Role And OCIO Lead Underpin Valuation Debate

• Morgan Stanley (NYSE:MS) has been selected as a leading contender for a key role in SpaceX’s anticipated IPO.
• The firm was also named the #1 Outsourced Chief Investment Officer provider in the U.S. by Chestnut Solutions Institute.

For you as an investor, these two updates put Morgan Stanley in the middle of closely watched areas of finance, including private market access and institutional portfolio management. The potential role in a high profile SpaceX IPO highlights its position in equity capital markets, while the OCIO recognition points to its presence with pensions, endowments and other large asset owners.

Taken together, the news touches both the investment banking and investment management sides of NYSE:MS. You may want to consider how exposure to marquee private companies, along with long term OCIO mandates, fits into your view of where large financial institutions are focusing their efforts beyond traditional lending and trading.

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Why Morgan Stanley could be great value

Quick Assessment

• ✅ Price vs Analyst Target: At around US$179, the share price is about 7.1% below the US$192.76 analyst target.
• ❌ Simply Wall St Valuation: Shares are trading roughly 12.6% above Simply Wall St’s estimated fair value.
• ❌ Recent Momentum: The 30 day return is about 1.6% lower, which signals weak short term momentum.

Check out Simply Wall St’s
in depth valuation analysis for Morgan Stanley.

Key Considerations

• 📊 SpaceX IPO involvement and the #1 OCIO ranking both speak to Morgan Stanley’s role with high profile deals and large institutional clients.
• 📊 Watch how investment banking fees, OCIO assets, and the current P/E of 17.4x versus the US market at 19.3x and the industry at 24.8x evolve against this backdrop.
• ⚠️ The dividend yield of 2.23% is not well covered by free cash flows, which may matter if capital needs rise around large transactions.

Dig Deeper

For the full picture including more risks and rewards, check out the
complete Morgan Stanley analysis.

This article by Simply Wall St is general in nature. We provide commentary based on historical data
and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your
financial situation. We aim to bring you long-term focused analysis driven by fundamental data.
Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
Simply Wall St has no position in any stocks mentioned.

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