Morgan Stanley shares close lower on Monday, CEO compensation plan approved by holding’s shareholders

On May 22nd, at Morgan Stanleys annual meeting in New York the CEO compensation plan received the approval of more than 90% of the shareholder votes. James Gorman, the holdings Chief Executive, received $22.5 million in total compensation in 2016, or 7% more compared to the preceding year.

Morgan Stanley shares closed lower for the first time in the past three trading sessions on Monday. The stock edged down 0.33% ($0.14) to $41.66, with the intraday high and the intraday low being at $42.17 and $41.50 respectively. In the week ended on May 21st the shares of the financial holding company lost 2.18% of their market value compared to a week ago, which marked a third consecutive period of decline and also the worst performance since the week ended on April 16th. The stock has extended its loss to 3.94% so far during the current month, following a 1.24% increase in April. The latter has been the sixth gain out of seven months. For the entire past year, Morgan Stanley shares gained 32.82%.

At the same time, shareholders did not support a proposal from the AFL-CIO union, which would ban stock awards from vesting for executives leaving the bank to assume a role with the government.

Meanwhile, Morgan Stanleys return on equity was reported at 8% during the past year, or further approaching the 9%-11% range sought for achievement by CEO Gorman by the end of 2017.

“Were confident about our targets for this year”, the banks Chief Executive said, cited by Reuters. “Were not going to start resetting targets at this point.”

According to CNN Money, the 25 analysts, offering 12-month forecasts regarding Morgan Stanley’s stock price, have a median target of $48.00, with a high estimate of $60.00 and a low estimate of $34.00. The median estimate is a 15.22% surge compared to the closing price of $41.66 on May 22nd.

The same media also reported that 15 out of 29 surveyed investment analysts had rated Morgan Stanley’s stock as “Buy”, while 11 – as “Hold”. On the other hand, 1 analyst had recommended selling the stock.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Morgan Stanley stock are presented as follows:

R1 – $41.72
R2 – $41.78
R3 (Range Resistance – Sell) – $41.84
R4 (Long Breakout) – $42.03
R5 (Breakout Target 1) – $42.24
R6 (Breakout Target 2) – $42.33

S1 – $41.60
S2 – $41.54
S3 (Range Support – Buy) – $41.48
S4 (Short Breakout) – $41.29
S5 (Breakout Target 1) – $41.08
S6 (Breakout Target 2) – $40.99

By using the traditional method of calculation, the weekly levels of importance for Morgan Stanley (MS) are presented as follows:

Central Pivot Point – $41.96
R1 – $43.48
R2 – $45.17
R3 – $46.69
R4 – $48.22

S1 – $40.27
S2 – $38.75
S3 – $37.06
S4 – $35.38