After Goldman Sachs, JP Morgan and Wells Fargo, the US earnings season continues today with Bank of America and Morgan Stanley. And, at the start of Wall Street, both stocks are running: the Charlotte bank opened up 3,57%, the New York bank gained 4,8%. Both banks in fact beat analysts' expectations both in terms of profits and revenues, confirming the excellent health of the US financial sector.
Bank of America's Third Quarter
In the third quarter Bank of America saw profits and revenues rise, exceeding analysts' estimates, thanks in particular to'investment banking (commissions rose 43% to 2 billion) and to consultancy on large transactions. In detail, from June to September, the net profits reached $8,5 billion, or $1,06 per share, up 23,1% from $6,9 billion, or $0,81, in the same period last year. revenues Earnings rose 11% to $28,1 billion, reflecting increases in net interest income, investment banking and asset management fees, and sales and trading revenue. Analysts had expected profits of $0,95 on revenue of $27,5 billion.
- provisions Provisions for potential credit losses amounted to 1,3 billion, down from 1,5 billion in the third quarter of 2024 and 1,6 billion in the previous three months.
Looking at equity indicators, Bank of America reported that "capital remained solid," with an ROE of 11,5% and a return on equity of 15,4%. The CET1 ratio was 11,6%, above the minimum required by regulators. Average deposits grew 4% to $1.990 trillion, the ninth consecutive quarterly increase, while loans rose 9% to $1.150 trillion, with increases across all business segments.
“This was a great quarter. Solid net income growth drove a 31% increase in earnings per share. This in turn drove a strong improvement in our returns on assets and capital,” said CEO Brian Moynihan, emphasizing that "strong loan and deposit growth, combined with effective balance sheet positioning, resulted in record net interest income." Bank of America, Moynihan added, "thanks to continued organic growth, every business line achieved improvements in both revenue and earnings."
Morgan Stanley's quarterly
In the third quarter of 2026 thenet turnover Morgan Stanley's total assets increased by $2,8 billion (+18%), from $15,4 billion a year earlier to $18,2 billion as of September 30, 2025.Net income Net income was $4,6 billion, or $2,80 per share, up 45% from $3,2 billion, or $1,88 per share, in the same period a year earlier. Analysts, on average, had expected earnings per share of $2,10 on revenue of $16,7 billion, according to LESG data.
“Our Integrated Firm delivered an exceptional quarter, with strong performances in each of our businesses globally,” commented CEO Ted Pick Consistent execution of our strategy resulted in record revenues of $18,2 billion, earnings per share of $2,80, and a return on equity (ROCE) of 23,5%. Wealth Management achieved a pre-tax margin of 30%, generating $81 billion in net new assets. Institutional Securities' results were driven by our equity business and a recovery in our Investment Banking business. Total Wealth and Investment Management client assets reached $8,9 trillion. Across our global footprint, we remain committed to generating sustained growth to create long-term value for our shareholders.
