You can clearly see how all the banks
have different stories to tell, and the next bank to deliver earnings
report on Thursday is Morgan Stanley. This is different from
J.P.Morgan`s story. Morgan Stanley`s consensus EPS estimate is $1,16,
which is -10,8% YoY.
The consensus Revenue Estimate is $10,02 Billion which is -5,6% YoY. 50% of Morgan Stanley`s total revenue comes from Institutional Securities. 43% of their total revenue comes from Wealth Management. 7% of total revenue is made from Investment Management.
There must be a lot of wealthy
customers in Morgan Stanley`s portfolio, but wealthy induviduals is
followed by financial services (brokerage, investment advisory,
financial planning, insurance, securities-based loans etc) to
medium-sized businesses and institutioons.
Morgan Stanley is headquartered at
Broadway, Midtown Manhattan, New York and CEO James Gorman is not a
big fan of Bitcoin, Libra or other crypto currencies. On Wednesday,
we saw a Facebook hearings live from Capitol Hill and Mr Gorman is
obviously not alone to be negative to crypto currencies.
In an interview with CNBC, he said “Psonally, I am not that exited about new exchanges for currencies or new forms of cryptocurrency. I`ve said this many times, an may be proven dead wrong about this. I don`t get it or see the need for another form of stored value. We have currencies and precious metals and reserve notes. Apparently, there`s a need there, right? But the fact that we are not in that doesn`t bother me at all,” Gorman said.
Fair value of the Morgan Stanley stock is about 20% higher than the current price. Citi upgraded Morgan Stanley to buy. Earning report will be released on Thursday before market open.
I have been watching Bitcoin and the cryptocurrency market for years now, and so far it has been a bumpy ride. Its not mainstream yet and it seems like Bitcoin is just for traders, and not a currency people around the world use to buy things with. But Facebooks Libra can be a gamechanger.
Mark Zuckerberg and his team is expected to provide details about its brand new cryptocurrency called Libra in a white paper set for release on Tuesday. Only a few trade with Bitcoin, but what do you think will happen if nearly 3 billion users on Facebook start to trade with Libra?
Facebook has partnered with companies like Visa, Paypal and Uber to name a few. They have all invested in the cryptocurrency and will help to oversee its use. Libra will be tied to several traditional fiat currencies in a bid to protect Libra from price volatility.
Bitcoin and the comming cryptocurrency Libra is not alone in the market. There are hundreds of other cryptocurrensies out there and there is more to come. What do you think will happen when Google and Amazon is joining the club?
Barclays analyst Ross Sandler predicted earlier this year that the digital currency could produce as much as $19 billion in new revenue in just two year for Facebook alone. It will be one of the most important milestones for Facebook in the history of the company.
Facebook can really help countries in need. Facebook`s Libra can provide a more stable market in areas with volatile currencies and unstable governments. It can be helpful for countries like Venezuela and other countries with ridiculous inflation.
Mark Zuckerberg`s brand new cryptocurrency platform could provide the embattled social media giant with a new revenue stream of historic proportions as it contends with a possible fedral antitrust probe and continued scrutiny over its data privacy practices.
Facebook`s long-awaited cryptocurrency payments plan will be exposed on Tuesday and analysts are bullish. This is a big and historic moment for Facebook and the world.
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