Bank of America Merrill Lynch Maintains Neutral on Morgan Stanley

Bank of America Merrill Lynch is out with its report today on Morgan Stanley MS, maintaining Neutral. In its report, Bank of America Merrill Lynch writes, "MS is a strong global cap. mkts. franchise, with added consistency from its Wealth Management unit. Despite investment to faciliate market share growth in trading, and contribution from Retail Brokerage business, performance remains challenged. We remain cautious until we get increased visibility on MS' ability to generate an ROE above 10%, which would support valuation above Book Value." At the time of posting, shares of MS were trading pre-market at $22.68, up 1.93% from Friday's close. Bank of America Merrill Lynch maintains a $26 PO on MS.