Bloomberg reports that investors voted about 86% in favor of the policy in a non-binding resolution, down from about 95% last year, according to a preliminary tally today at the company’s annual meeting in Purchase, New York.
They also elected the bank’s 14 board members, including new director Thomas Glocer, the former CEO of Thomson Reuters.
Gorman’s compensation fell to $9.75m for 2012, and was 40% below target based on the firm’s performance, Morgan Stanley said in a March filing.
Total shareholder return, including appreciation and dividends, was 28% in 2012, below the 36% median of the bank’s nine largest peers.
In the meantime, Bloomberg also reports that Michael Mayo, an analyst at CLSA Ltd., raised his share-price estimate on Morgan Stanley to $36 after Gorman said the firm may reach his profitability target next year.
Morgan Stanley shares can rally almost 50%, Mayo said Tuesday in a note to investors, raising the price estimate from $30.
Reaching Gorman’s target of 10% return on equity implies earnings per share of $3 for 2014, higher than the average estimate of $2.50, Mayo wrote.