MORGAN STANLEY 8-K

What Happened

• On June 24, 2026, Morgan Stanley announced it will raise its quarterly common stock dividend from $1.00 to $1.15 per share, starting with the dividend expected to be declared in the quarter ending September 30, 2026 (the third quarter).
• The Board also reauthorized a multi-year common equity share repurchase program of up to $20 billion with no set expiration, to begin in the third quarter.
• The filing notes the Federal Reserve published summary results of its 2026 supervisory stress tests (June 24, 2026), which do not change Morgan Stanley’s current Stress Capital Buffer (SCB). The Fed previously indicated on February 4, 2026 that Morgan Stanley’s SCB requirement remains 4.3% until October 1, 2027, at which point a new requirement may be set after the 2027 stress test.

Key Details

• Dividend: $1.15 per common share quarterly (up from $1.00).
• Share repurchase: Up to $20 billion reauthorized; no set expiration; repurchases at management’s discretion.
• Regulatory capital: 2026 Fed stress test results do not affect Morgan Stanley’s SCB; current SCB is 4.3% through at least Oct 1, 2027 per prior Fed guidance.
• Effective/announcement date: June 24, 2026 (press release attached as Exhibit 99.1 in the filing).

Why It Matters

• Higher dividend and a large, open-ended buyback authorization signal the Board’s confidence in the firm’s capital position and its intent to return capital to shareholders.
• The $20B repurchase program gives management flexibility to reduce share count over time, which can boost earnings per share if executed.
• Confirmation that the Fed’s 2026 stress-test results do not change Morgan Stanley’s SCB provides regulatory clarity on near-term capital requirements.
• Investors should note these are subject to Board decisions, market conditions and regulatory constraints; the filing also includes standard forward-looking statement cautions.