Morgan Stanley Stock Enjoys Post-Earnings Pop

MS announced an upbeat earnings report

Shares of Morgan Stanley (NYSE:MS) are up 7.5% to trade at $120.66 this morning, after the company posted a third-quarter beat, with an earnings per share of $1.88 on $3.19 billion in revenue. The equity also shared an impressive jump in profit, citing a recovery in dealmaking as one of the catalysts. 

On the charts, MS is pacing toward its fifth win in six sessions, fresh off this morning’s record peak of $121.45. The 180-day moving average has captured several brief pullbacks over the past year, aiding the stock’s ascent to its now 50%, 12-month gain.

Meanwhile puts are prevalent in the options pits, specifically at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), MS’s 10-day put/call volume ratio of 1.13 ranks in the 94th percentile of its annual range. Echoing this, the security’s Schaeffer’s put/call open interest ratio (SOIR) of 1.08 stands in the 83rd percentile of reading from the past 12 months.

Digging deeper, calls and puts are popping in the options pits for MS today. So far 60,000 calls and 37,000 puts have been exchanged so far, 10 times the average daily volume. Most popular is the October 120 call and 115 put, with the latter seeing contracts being sold to open.

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