AI's ROI Becomes Clearer as More US Firms Report Tangible Gains, Morgan Stanley Finds

A growing number of U.S. companies are moving past discussing the potential of artificial intelligence and are now reporting quantifiable financial and productivity gains, according to a new report from Morgan Stanley. The analysis suggests that heavy corporate investment in AI is beginning to yield measurable returns, addressing investor concerns about the technology's immediate return on investment.

From Hype to Tangible Returns

Morgan Stanley's review of more than 17,000 corporate earnings calls and conference presentations revealed a steady rise in discussions of concrete AI benefits. The report found that 40% of companies classified as AI adopters cited at least one measurable benefit in the second quarter, an increase from 37% in the prior quarter and nearly double the 21% from a year earlier.

This trend extends across the broader market. Among all S&P 500 companies, approximately 25% discussed quantifiable AI outcomes, up significantly from 14% one year ago. According to the bank, executives are increasingly focusing on concrete results like revenue generation, cost savings, and capital efficiency rather than experimental use cases.

Sector Adoption and Specific Wins

The adoption of AI is showing clear sector leadership, though its impact is broadening. Technology companies remain the most vocal, with 51% citing measurable gains, followed by communication services at 44% and financials at 37%.

Ad

The report highlighted several companies turning AI investment into operational success:

• HP Inc (HPQ) is targeting $1 billion in annual savings through AI-driven operational improvements.
• Verizon Communications (VZ) reported over $200 million in energy savings attributed to AI.
• Airbnb (ABNB) is using AI to successfully reduce customer-service costs.
• Exxon Mobil (XOM) has leveraged AI to cut the time required to analyze drilling data from years down to weeks.

Labor Productivity and Headcount

While discussions about AI's impact on employment are growing, they remain less frequent than commentary on financial or productivity gains. The report noted that 10% of S&P 500 firms discussed labor implications in the second quarter, up from 6% a year prior.

Instead of signaling widespread job cuts, companies are framing AI as a tool for enhancing efficiency. The fastest-growing theme in corporate commentary was "revenue-headcount decoupling," where businesses use AI to boost output and sales while maintaining relatively flat employee growth, effectively slowing the pace of hiring and automating routine work.