Shares of investment bank Morgan Stanley pushed forward the first Monday of the New Year along amid an analyst upgrade of the stock, predicting sustained success and share price growth.
Credit Suisse upgraded Morgan Stanely from “Neutral” to “Outperform” despite what is expected to be a unimpressive fourth quarter, expecting that market shares and important customers will restore themselves in 2010.
Early morning trading saw shares rise $1.42 or 4.8 percent to hit $31.02.
The rise is likely in response to the firms hiring of 400 employees in its institutional securities division, which will is expected to produce more revenue for the second half of the New Year.
2010 estimates rose to $3.20 per share from the earlier $3.10 with analyst expectations at $3.30.
2011 looks even better with a $3.66 analysts prediction.
Unite Bank of Switzerland was also optimistic, with securities analyst Glenn Schorr upgrading the firm’s shares to "Buy" from "Neutral." Schorr attributes growth to the company's strong capital and liquidity, the growth of its investment sector and new management James Gorman.
Gorman is the former Co-President but will take on the role of CEO for John Mack who is stepping down.
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