Other
Pre-tax margin
Morgan Stanley Pre-tax margin increased by 3.0% to 34.0% in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 9.7%, from 31.0% to 34.0%. This is a positive signal — higher values indicate stronger performance for this metric.
Analysis
StatementCash Flow Statement
SectionOther
CategoryProfitability
SignalHigher is better
VolatilityModerate
First reportedQ1 2022
Last reportedQ1 2026May 5, 2026
How to read this metric
An increase suggests improved operational efficiency or better cost control, while a decrease may indicate rising operating expenses or margin compression.
Detailed definition
The pre-tax margin represents the percentage of net revenue that remains as profit before accounting for income tax expe...
Peer comparison
Commonly reported by all major investment banks and financial institutions to assess core profitability.
Metric ID:
other_effective_income_tax_rate_reconciliation_pre_tax_m_ec9d40Historical Data
15 periods
| Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | 6.5% | 6.5% | 6.5% | 6.5% | 5.5% | 5.5% | 5.5% | 5.5% | 29% | 27% | 27% | 31% | 28% | 33% | 34% |
| QoQ Change | — | +0.0% | +0.0% | +0.0% | -15.4% | +0.0% | +0.0% | +0.0% | +427.3% | -6.9% | +0.0% | +14.8% | -9.7% | +17.9% | +3.0% |
| YoY Change | — | — | — | — | -15.4% | -15.4% | -15.4% | -15.4% | +427.3% | +390.9% | +390.9% | +6.9% | +3.7% | +22.2% | +9.7% |
Range5.5% – 34%
CAGR+60.4%
Avg YoY Growth+108.2%
Median YoY Growth+6.9%
Current Streak2 quarters growth
Business Segments
| Segment | Q1 '25 | Q2 '25 | Q3 '25 | Q1 '26 |
|---|---|---|---|---|
| Institutional Securities1 | 37% | 28% | 37% | 39% |
| Wealth Management1 | 27% | 28% | 30% | 30% |
| Investment Management | 20% | 21% | 22% | 18% |
| Total | 31% | 28% | 33% | 34% |
Pre-tax margin at Other Companies
Frequently Asked Questions
- What is Morgan Stanley's pre-tax margin?
- Morgan Stanley (MS) reported pre-tax margin of 34.0% in Q1 2026.
- How has Morgan Stanley's pre-tax margin changed year-over-year?
- Morgan Stanley's pre-tax margin increased by 9.7% year-over-year, from 31.0% to 34.0%.
- What does pre-tax margin mean?
- The percentage of revenue kept as profit before paying income taxes.