Morgan Stanley (NYSE: MS) boosts dividend and reauthorizes $20B multi-year buyback
Rhea-AI Filing Summary
Morgan Stanley plans to raise its quarterly common stock dividend to $1.15 per share from $1.00, starting with the dividend expected to be declared for the quarter ending September 30, 2026. The board also reauthorized a multi-year common equity share repurchase program of up to $20 billion, with no set expiration, beginning in the third quarter of 2026.
The firm notes that buybacks will occur from time to time based on market conditions, capital levels and its economic and earnings outlook. Following the Federal Reserve’s 2026 stress tests, Morgan Stanley’s Stress Capital Buffer remains at 4.3%, supporting an aggregate U.S. Basel III Standardized Approach CET1 ratio requirement of 11.8% versus an actual CET1 ratio of 15.1% as of March 31, 2026.
Positive
- Dividend increase and sizable buyback: Quarterly dividend per share will rise from $1.00 to $1.15, and the board reauthorized a multi-year common equity share repurchase program of up to $20 billion starting in the third quarter of 2026.
- Capital ratios comfortably above requirements: A 4.3% Stress Capital Buffer produces an 11.8% CET1 requirement, while Morgan Stanley reported a 15.1% U.S. Basel III Standardized CET1 ratio as of March 31, 2026, supporting continued capital returns.
Negative
- None.
Insights
Dividend hike and $20B buyback signal strong capital above regulatory needs.
Morgan Stanley is lifting its quarterly dividend from $1.00 to $1.15 per share and reauthorizing a multi-year common equity repurchase plan of up to $20 billion. These actions indicate confidence in ongoing earnings power and balance sheet resilience.
The Federal Reserve’s 2026 stress test leaves the firm’s Stress Capital Buffer at 4.3%, implying an aggregate U.S. Basel III Standardized CET1 requirement of 11.8%. Morgan Stanley’s actual CET1 ratio was 15.1% as of March 31, 2026, giving management room to return capital while remaining above minimums.
Actual repurchase volumes will depend on market conditions, capital levels and the firm’s economic and earnings outlook. Future Fed stress test results, including the 2027 exercise effective around October 1, 2027, may influence the longer-term pace of capital returns.
8-K Event Classification
Key Figures
Key Terms
Stress Capital Buffer financial
CCAR 2026 financial
Common Equity Tier 1 (CET1) ratio financial
U.S. Basel III Standardized Approach financial
forward-looking statements regulatory
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
CURRENT REPORT
Pursuant To Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of report (Date of earliest event reported):
(Exact Name of Registrant
as Specified in Charter)
| (State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
| (Address of Principal Executive Offices) | (Zip Code) |
Registrant’s telephone number, including
area code: (
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
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Depositary Shares, each representing 1/1,000th interest in a share of Floating Rate |
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Depositary Shares, each representing 1/1,000th interest in a share of Fixed-to-Floating Rate |
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Depositary Shares, each representing 1/1,000th interest in a share of Fixed-to-Floating Rate |
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Depositary Shares, each representing 1/1,000th interest in a share of Fixed-to-Floating Rate |
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Depositary Shares, each representing 1/1,000th interest in a share of Fixed-to-Floating Rate |
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Depositary Shares, each representing 1/1,000th interest in a share of 4.875% |
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Depositary Shares, each representing 1/1,000th interest in a share of 4.250% |
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Depositary Shares, each representing 1/1,000th interest in a share of 6.500% |
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Depositary Shares, each representing 1/1,000th interest in a share of 6.625% |
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of Morgan Stanley Finance LLC (and Registrant’s guarantee with respect thereto) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 8.01 Other Events.
On June 24, 2026, Morgan Stanley (the “Company”) announced it will increase its quarterly common stock dividend to $1.15 per share from the current $1.00 per share, beginning with the common stock dividend expected to be declared by the Company’s Board of Directors (the “Board”) in the quarter ending September 30, 2026 (the “third quarter”). In addition, the Board reauthorized a multi-year common equity share repurchase program of up to $20 billion, without a set expiration date, beginning in the third quarter. The share repurchases will be exercised from time to time at prices the Company deems appropriate, subject to various considerations, including current market conditions, the Company’s capital position and future economic and earnings outlook.
On June 24, 2026, the Board of Governors of the Federal Reserve System (the “Federal Reserve”) published summary results of its 2026 supervisory stress tests, which do not impact the Company’s Stress Capital Buffer (“SCB”) requirement. On February 4, 2026, the Federal Reserve announced that it expects the Company will continue to be subject to its current SCB requirement of 4.3% until October 1, 2027, at which time a new SCB requirement may apply based on the results of the supervisory stress test conducted in 2027.
A copy of the press release relating to this announcement is attached as Exhibit 99.1 hereto and is incorporated herein by reference.
Forward-Looking Statements
This Current Report on Form 8-K (including the Exhibit hereto) contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they are made, which reflect management’s current estimates, projections, expectations, assumptions, interpretations or beliefs of the Company’s future results, regulatory capital levels and future capital actions, including common stock dividends and common equity share repurchases, and which are subject to risks and uncertainties that may cause actual results to differ materially. The Company does not undertake to update the forward-looking statements to reflect the impact of circumstances or events that may arise after the date of forward-looking statements. For a discussion of additional risks and uncertainties that may affect the future results, regulatory capital levels and future capital actions of the Company, please see “Forward-Looking Statements” preceding Part I, Item 1, “Competition” and “Supervision and Regulation” in Part I, Item 1, “Risk Factors” in Part I, Item 1A, “Legal Proceedings” in Part I, Item 3, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 and “Quantitative and Qualitative Disclosures about Risk” in Part II, Item 7A, in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 and other items throughout the Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, including any amendments thereto.
| Item 9.01. | Financial Statements and Exhibits. | |
| (d) | Exhibits | |
| Exhibit | ||
| Number | Description | |
| 99.1 | Press Release of the Company, dated June 24, 2026. | |
| 101 | Interactive Data Files pursuant to Rule 406 of Regulation S-T formatted in Inline eXtensible Business Reporting Language (“Inline XBL”). | |
| 104 | Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101). |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.
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MORGAN STANLEY (Registrant) | |||||
| Date: | June 24, 2026 | By: | /s/ Martin M. Cohen | ||
| Name: | Martin M. Cohen | ||||
| Title: | Corporate Secretary | ||||
Exhibit 99.1
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FOR IMMEDIATE RELEASE
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June 24, 2026
Morgan Stanley Announces a Dividend Increase of 15 Cents to
$1.15 Per Share and the Reauthorization of a $20 Billion Multi-Year Common Equity Share Repurchase Program
NEW YORK - Morgan Stanley (NYSE: MS) announced that it will increase its quarterly common stock dividend to $1.15 per share from the current $1.00 per share, beginning with the common stock dividend expected to be declared by the Firm’s Board of Directors in the third quarter of 2026.
In addition, the Firm’s Board of Directors reauthorized a multi-year common equity share repurchase program of up to $20 billion, without a set expiration date, beginning in the third quarter of 2026. The share repurchases will be exercised from time to time at prices the Firm deems appropriate, subject to various considerations, including current market conditions, the Firm’s capital position and future economic and earnings outlook.
Ted Pick, Chairman and Chief Executive Officer of Morgan Stanley, said, “We have a globally scaled business that supports the Firm’s durable returns and strong capital position. Our financial strength gives us ongoing flexibility to invest in growth opportunities across the Integrated Firm while increasing the return of capital to shareholders.”
On June 24, 2026, the Board of Governors of the Federal Reserve System released its CCAR 2026 results which do not impact the Firm’s Stress Capital Buffer (SCB) requirement. On February 4, 2026, the Federal Reserve announced that it expects the Firm will continue to be subject to its current SCB requirement of 4.3% until October 1, 2027, at which time a new SCB requirement may apply based on the results of the supervisory stress test conducted in 2027. Together with other features of the regulatory capital framework, this SCB results in an aggregate U.S. Basel III Standardized Approach Common Equity Tier 1 (CET1) ratio of 11.8%. The Firm’s U.S. Basel III Standardized Approach CET1 ratio was 15.1% as of March 31, 2026.
Morgan Stanley is a leading global financial services firm providing a wide range of investment banking, securities, wealth management and investment management services. With offices in 42 countries, the Firm’s employees serve clients worldwide including corporations, governments, institutions and individuals. For further information about Morgan Stanley, please visit www.morganstanley.com.
Forward-Looking Statements
This Release contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they are made, which reflect management’s current estimates, projections, expectations, assumptions, interpretations or beliefs of Morgan Stanley’s future results, regulatory capital levels and future capital actions, including common stock dividends and common equity share repurchases, and which are subject to risks and uncertainties that may cause actual results to differ materially. Morgan Stanley does not undertake to update the forward-looking statements to reflect the impact of circumstances or events that may arise after the date of forward-looking statements. For a discussion of additional risks and uncertainties that may affect the future results, regulatory capital levels and future capital actions of Morgan Stanley, please see “Forward-Looking Statements” preceding Part I, Item 1, “Competition” and “Supervision and Regulation” in Part I, Item 1, “Risk Factors” in Part I, Item 1A, “Legal Proceedings” in Part I, Item 3, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 and “Quantitative and Qualitative Disclosures about Risk” in Part II, Item 7A, in Morgan Stanley’s Annual Report on Form 10-K for the year ended December 31, 2025 and other items throughout the Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, including any amendments thereto.
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