On Thursday, Morgan Stanley (NYSE:MS) reported a drop in Q3 earnings to $2.26 billion ($1.38/share) from last year's $2.49 billion ($1.47/share). The financial powerhouse, however, managed to surpass the average analyst estimate of $1.22/share, as reported by Thomson Reuters (TSX:TRI) (NYSE:TRI), indicating a better than expected performance. The bank also revealed a revenue growth of 2.2%, with this quarter's revenue reaching $13.27 billion, up from last year's $12.99 billion.
Although Morgan Stanley's earnings have declined, it's worth noting that the company is a prominent player in the Capital Markets industry according to InvestingPro Tips. Furthermore, the company has raised its dividend for 10 consecutive years, which is a positive sign for investors. However, investors should bear in mind that the company's net income is expected to drop this year.
Additionally, the InvestingPro data shows a P/E ratio of 12.98 and a revenue of $53.19 billion, which provides further insight into the company's financial situation. The company's market cap is currently $122.46 billion, which is a substantial figure in the industry.
Meanwhile, Discover Financial Services (NYSE:DFS) delivered Q3 earnings that fell short of estimates, with a net income drop to $647 million ($2.59/share) from $975 million ($3.56/share) last year. This underperformed the $3.18/share forecast by Thomson Reuters analysts. DFS reported a GAAP revenue surge of 16.4% to $4.04 billion from the previous year's $3.47 billion.
State Street Corp (NYSE:STT).'s Q3 earnings report also failed to meet expectations, showing a significant decrease from the previous year and failing to meet the $1.81 per share estimate by analysts, according to data corroborated by Thomson Reuters. Earnings dropped to $422 million or $1.25 per share from the preceding year's figure of $690 million or $1.80 per share. The report also marked a 9.1% revenue dip, with figures falling to $2.69 billion from last year's third quarter revenue of $2.96 billion.
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