WallStSmart

Lazard Ltd (LAZ)vsMorgan Stanley (MS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Morgan Stanley generates 2169% more annual revenue ($70.30B vs $3.10B). MS leads profitability with a 24.0% profit margin vs 7.6%. LAZ appears more attractively valued with a PEG of 1.00. MS earns a higher WallStSmart Score of 76/100 (B+).

LAZ

Buy

60

out of 100

Grade: C

Growth: 4.0Profit: 6.5Value: 7.3Quality: 5.8
Piotroski: 2/9Altman Z: 1.87

MS

Strong Buy

76

out of 100

Grade: B+

Growth: 8.0Profit: 7.5Value: 10.0Quality: 4.8
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LAZSignificantly Overvalued (-271.2%)

Margin of Safety

-271.2%

Fair Value

$14.76

Current Price

$40.90

$26.14 premium

UndervaluedFair: $14.76Overvalued
MSUndervalued (+59.3%)

Margin of Safety

+59.3%

Fair Value

$407.18

Current Price

$165.65

$241.53 discount

UndervaluedFair: $407.18Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LAZ2 strengths · Avg: 8.5/10
Return on EquityProfitability
28.6%9/10

Every $100 of equity generates 29 in profit

PEG RatioValuation
1.008/10

Growing faster than its price suggests

MS6 strengths · Avg: 8.8/10
Market CapQuality
$263.03B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
38.6%10/10

Strong operational efficiency at 38.6%

Profit MarginProfitability
24.0%9/10

Keeps 24 of every $100 in revenue as profit

P/E RatioValuation
16.2x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

EPS GrowthGrowth
20.7%8/10

Earnings expanding 20.7% YoY

Areas to Watch

LAZ4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.874/10

Grey zone — moderate risk

Profit MarginProfitability
7.6%3/10

7.6% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-43.3%2/10

Earnings declined 43.3%

MS3 concerns · Avg: 3.0/10
PEG RatioValuation
1.834/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-4.60B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : LAZ

The strongest argument for LAZ centers on Return on Equity, PEG Ratio. PEG of 1.00 suggests the stock is reasonably priced for its growth.

Bull Case : MS

The strongest argument for MS centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 24.0% and operating margin at 38.6%. Revenue growth of 11.0% demonstrates continued momentum.

Bear Case : LAZ

The primary concerns for LAZ are Altman Z-Score, Profit Margin, Piotroski F-Score.

Bear Case : MS

The primary concerns for MS are PEG Ratio, Piotroski F-Score, Free Cash Flow.

Key Dynamics to Monitor

LAZ profiles as a value stock while MS is a mature play — different risk/reward profiles.

LAZ carries more volatility with a beta of 1.37 — expect wider price swings.

MS is growing revenue faster at 11.0% — sustainability is the question.

LAZ generates stronger free cash flow (400M), providing more financial flexibility.

Bottom Line

MS scores higher overall (76/100 vs 60/100), backed by strong 24.0% margins and 11.0% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Lazard Ltd

FINANCIAL SERVICES · CAPITAL MARKETS · USA

Lazard Ltd, is a financial advisory and asset management firm in North America, Europe, Asia, Australia, and Central and South America. The company is headquartered in Hamilton, Bermuda.

Morgan Stanley

FINANCIAL SERVICES · CAPITAL MARKETS · USA

Morgan Stanley is an American multinational investment bank and financial services company headquartered at 1585 Broadway in the Morgan Stanley Building, Midtown Manhattan, New York City.

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