Morgan Stanley's shares have returned 19% year-to-date, following a 44% decline during 2011. The shares trade for 0.6 times their reported June 30 tangible book value of $27.70, and for nine times the consensus 2013 EPS estimate of $1.98, among analysts polled by Thomson Reuters. The consensus 2012 EPS estimate is 86 cents. The company will announce its third-quarter results on Oct. 18, with a consensus operating earnings estimate of 24 cents, declining from 29 cents in the second quarter. During the third quarter of 2011 Morgan Stanley's results include $3.4 billion in positive revenue from debit valuation adjustments (DVA) and "other credit factors." KBW analyst David Konrad rates Morgan Stanley "Market Perform," and estimates the company will report third-quarter operating EPS of 20 cents, although the analyst expects "a sizable DVA adjustment in 3Q12 of nearly $2 billion, and as a result, we expect the company to announce a reported loss of $0.47 per share."
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