- Morgan Stanley (MS, Financial) raises its quarterly dividend to $1.00 per share, up from $0.925.
- The firm reauthorizes a $20 billion multi-year common share repurchase program.
- The new dividend and buyback program will commence in the third quarter of 2025.
Morgan Stanley (MS) has announced an increase in its quarterly common stock dividend, raising it by 7.5 cents to $1.00 per share from $0.925 per share. This hike is expected to take effect with the dividend declared by the firm's Board of Directors in the third quarter of 2025.
The financial services giant also revealed the reauthorization of a $20 billion multi-year common equity share repurchase program. This program is set to begin in the third quarter of 2025 and will proceed without a defined expiration date. The firm will undertake share repurchases at times and prices it deems suitable, taking into account market conditions and its capital standing.
Ted Pick, Chairman and Chief Executive Officer of Morgan Stanley, highlighted the firm's financial robustness reflected in the improved stress test results, emphasizing their commitment to growing the quarterly dividend and returning capital to shareholders.
As per the latest stress test results released by the Federal Reserve, Morgan Stanley expects to be subject to a Stress Capital Buffer (SCB) of 5.1% from October 1, 2025, to September 30, 2026. With this, the aggregate U.S. Basel III Standardized Approach Common Equity Tier 1 (CET1) ratio stands at 12.6%, while the firm's CET1 ratio was reported at 15.3% as of March 31, 2025.
