BofA Cuts Estimates, Targets On Goldman, Morgan Stanley Amid Brexit

Loading...
Loading...
Amid the Brexit which has clouded the outlook, according to Bank of America Merrill Lynch's Michael Carrier, the analyst lowered second quarter, FY16 and FY17 earnings estimates on
Morgan StanleyMS
and
Goldman Sachs Group IncGS
. Morgan Stanley estimates:
  • from $0.67 to $0.60 for the second quarter
  • from $2.60 to $2.50 for FY16
  • from $3.25 to $2.95 for FY17
Goldman estimates:
  • from $3.19 to $3 for the second quarter
  • from $13.90 to $13.40 for FY16
  • from $17 to $15.50 for FY17
As such, the analyst lowered price objectives on the two names from $32 to $27 for Morgan Stanley and from $185 to $160 for Goldman. "The uncertain macro backdrop this year has weighed on capital market activity levels, and given the Brexit event last week, we expect this to cloud the outlook further. Based on our Economic and Strategy Teams outlook for weaker economic growth in the UK & EU, rate hikes in the U.S. pushed out further, a stronger dollar, weaker markets, and political uncertainty, we are more cautious on the outlook for capital markets activity," Carrier said.
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst ColorNewsPrice TargetAnalyst Ratings
We simplify the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...