Goldman Sachs Reports On MS Meeting

Goldman Sachs has issued a report following a meeting with the CFO of Morgan Stanley MS. According to Goldman Sachs, "While the challenges facing the firm are well known and likely to remain a shareholder concern until MS completes this stage of its Securities rebuild, GWM integration, and MSIM strategic overhaul, Ms. Porat noted the firm remains focused on a mid-teen ROE target even as that implies EPS nearly 46% above current 2013 consensus estimates. The build out of Morgan's Rates and F/X complex are being counted on to drive market share gains, though the brokerage industry is very competitive and the pool of revenue may not be growing. We see various near/mid term growth drivers, but the path to their ROE target and market share gains will be challenging." MS has a $32.00 Price Target and a Neutral Rating. MS closed at $27.61 yesterday.