The 1887 Morgan Silver Dollar MS65: A Gem-Grade Collector Favorite
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The 1887 Morgan Silver Dollar MS65 is one of the most satisfying coins a collector can add to a Gem-grade Morgan set – uncirculated, visually striking, and backed by over a century of numismatic demand. Whether you are building a type set, assembling a complete Morgan date run, or simply looking for a high-grade piece of American silver history, this coin deserves a close look.
This guide covers everything you need to know: what MS65 actually means for a Morgan dollar, how the three 1887 mint issues compare, what drives price above melt value, and how to buy smart. Silver content matters here too – each coin carries about 0.77 troy ounces of silver – but the numismatic story runs much deeper than spot price.
What Is the 1887 Morgan Silver Dollar?
The Morgan dollar was designed by George T. Morgan and first struck in 1878. Production continued through 1904, then resumed briefly in 1921. The series sits at the heart of American numismatic history, born from a political battle over silver’s role in the U.S. monetary system. Congress passed the Bland-Allison Act in 1878, requiring the Treasury to purchase silver and coin it into dollars – and the Morgan dollar was the result.
By 1887, the series was in full production. The Philadelphia Mint alone struck 20,290,000 Morgan dollars that year, making it a high-mintage date by any measure. But raw mintage numbers only tell part of the story. Coins were stored in canvas bags at the mint and in Treasury vaults for decades. That storage caused bag marks, contact damage, and surface chatter that knocked most coins well below Gem grade. High-grade survivors are far scarcer than the original production figures suggest.
The Morgan Silver Dollar series remains one of the most actively collected in American numismatics, with a deep base of dedicated collectors and consistent market demand.
The Three 1887 Mint Issues
When someone says “1887 Morgan Silver Dollar MS65,” they could be referring to any of three distinct coins. Each was struck at a different mint, carries a different mint mark, and behaves differently in the collector market.
1887-P (Philadelphia)
The Philadelphia issue carries no mint mark. With the largest mintage of the three, it is also the most available in high grade. For a collector building a Gem Morgan type set, the 1887-P in MS65 is a practical and attractive choice. It is not a rarity, but it is a quality coin with solid demand.
1887-O (New Orleans)
The New Orleans issue carries an “O” mint mark on the reverse. In lower Mint State grades it is common, but sharply struck MS65 examples are genuinely rare. PCGS estimates only around 1,175 coins survive at MS65 or better, and notes that fully struck examples in that grade range number only in the hundreds. Strike quality at the New Orleans Mint was inconsistent, and many coins show softness in the hair detail above Liberty’s ear or weakness in the eagle’s breast feathers. A well-struck 1887-O in MS65 commands a meaningful premium.
1887-S (San Francisco)
The San Francisco issue carries an “S” mint mark. San Francisco coins often exhibit stronger strike quality and better luster than their New Orleans counterparts, which drives collector interest in high grades. The 1887-S in MS65 has a distinct market profile and typically commands stronger prices than the Philadelphia issue at the same grade level.
Knowing which mint issue you are buying matters. An 1887-P MS65 and an 1887-S MS65 are not interchangeable in price or rarity.
What MS65 Actually Means
The Sheldon grading scale runs from 1 to 70. “MS” stands for Mint State – meaning the coin has never circulated and shows no wear on the high points. The number 65 places the coin in Gem territory.
An MS65 Morgan dollar typically shows:
- No wear from circulation
- Strong, original luster across the fields and devices
- A well-executed strike with good detail
- Only minor contact marks – small, not distracting
- Strong overall eye appeal
MS65 is not flawless. Under magnification, you will find small marks and perhaps a light scuff or two. But the coin looks impressive to the eye, with full luster and no obvious damage. That combination is harder to achieve than it sounds for a Morgan dollar.
The series is notorious for bag marks. Coins were dumped into canvas bags, shipped, counted, and stored – and each contact left a mark. Most Morgan dollars that survived in Mint State condition are MS60 to MS63. Getting to MS65 means the coin avoided serious contact damage through its entire history. That is genuinely uncommon.
MS67 and MS68 examples exist and bring extraordinary prices, but they are rare enough that most collectors target MS65 as a realistic sweet spot between quality and cost.
1921 Morgan Dollar Value Guide – Accurate Precious Metals Refineries
Silver Content and Melt Value
Each 1887 Morgan dollar contains 90% silver and 10% copper, with a total silver content of approximately 0.77344 troy ounces. At the current silver spot price of about $77 per ounce, the melt value works out to roughly $59.56.
That $59.56 is the floor – the coin’s value if it were melted down and sold purely as metal. For a circulated, damaged, or common example, melt value is a reasonable reference point. For an NGC MS65, it is almost irrelevant.
The numismatic premium on a Gem Morgan dollar reflects condition, eye appeal, date and mint rarity, and collector demand. These factors push the price well above melt. Circulated 1887 Morgans trade in the $71-$93 range according to NGC pricing data – and that is for worn coins. An MS65 occupies a completely different pricing tier.
For a deeper look at how silver content affects Morgan dollar values across grades, the Morgan Silver Dollar melt value guide on our site is a useful reference.
What Drives Price Above Melt
Several factors determine where a specific 1887 MS65 Morgan dollar lands in the market.
1887-P is most available; 1887-O and 1887-S command higher premiums in Gem grade
Sharp hair detail and eagle feathers add value – weak strikes discount even at the same grade
Frosty, deep luster is more desirable than flat or hazy surfaces
Marks on Liberty’s cheek or in open fields are more distracting than marks on hair or the reverse rim
Both are respected; some buyers pay slight premiums for one service over the other
Low census numbers at MS65 for a given date/mint push prices higher
Strike quality deserves special attention. Two coins can share the same MS65 grade but look very different. One may have crisp hair strands, sharp eagle feathers, and blazing luster. Another may be softly struck with flat details and a dull sheen. Both grade 65. But the sharp coin is more desirable, and experienced collectors will pay more for it.
The location of marks matters too. A small mark hidden in Liberty’s hair is far less damaging to eye appeal than the same mark sitting in the open cheek or the flat fields of the obverse. When buying, look at the coin, not just the grade on the label.
VAM Varieties: A Hidden Layer of Collecting
Morgan dollars have hundreds of cataloged die varieties, known as VAMs after researchers Van Allen and Mallis. Some VAMs are common; others are scarce and actively sought.
For 1887, one standout example is the VAM-12 DDO “Gator Eye” – a doubled-die obverse variety listed among the Top 100 VAMs. Doubled-die varieties show doubling in the design elements caused by a misaligned hub during die production. The “Gator Eye” nickname comes from the distinctive appearance of the doubled eye on Liberty’s portrait.
A VAM-12 in MS65 is a different coin from a standard 1887-P MS65. Variety collectors track these specifically, and a Top 100 VAM in Gem grade can command a significant premium over the base issue. If you are buying an 1887 Morgan in MS65, it is worth checking whether the coin has been attributed to a specific VAM variety – it could affect value in either direction.
The Case for NGC Certification
Buying a raw (uncertified) Morgan dollar in MS65 condition carries real risk. Counterfeits exist. Cleaned coins – those that have been dipped, polished, or treated to look brighter – can be difficult to detect without experience. A coin that has been cleaned may look attractive but will be worth significantly less than a problem-free example, and the damage is often permanent.
NGC certification addresses these risks directly. NGC is one of the two leading third-party grading services in the U.S. When a coin is encapsulated in an NGC holder, it has been examined by professional graders, assigned a numeric grade, and sealed in a tamper-evident case. The holder includes the coin’s description, grade, and a unique certification number that can be verified online.
For a coin like an 1887 Morgan in MS65 – where the difference between a genuine Gem and a cleaned or altered coin can mean hundreds of dollars – third-party grading is not just convenient. It is essential for confident buying.
Accurate Precious Metals is an NGC Authorized Dealer, which means we can submit coins for grading and work directly within the NGC system. That matters when you are evaluating or purchasing a coin of this caliber.
Buying Smart: What to Look For
Buying an MS65 Morgan dollar is not complicated, but a few habits protect you from overpaying or buying the wrong coin.
- Check the mint mark first. Know whether you are buying a 1887-P, 1887-O, or 1887-S. Each has a different price and rarity profile.
- Examine the surfaces in the holder. Look at the cheek, the fields, and the reverse center. Large or distracting marks lower eye appeal even within the MS65 range.
- Assess the strike. Sharp hair detail above the ear and crisp eagle feathers indicate a well-struck coin. Softness in these areas is a negative.
- Check for luster. Frosty, reflective luster is a positive. Dull, hazy, or stripped surfaces suggest cleaning or poor storage.
- Verify the certification. Use NGC’s online verification tool to confirm the coin’s grade and that the holder has not been tampered with.
- Understand the premium. You are buying a numismatic coin, not bullion. The price will be well above melt – that is normal and expected for a Gem-grade Morgan.
- Avoid cleaned coins. A coin that looks unusually bright or has hairlines under a light source may have been cleaned. These coins carry a significant discount and are marked “details” by NGC if identified.
For a broader comparison of numismatic and bullion coins – and why the distinction matters for buyers – see our guide on the difference between numismatic and bullion coins.
Common Myths About 1887 Morgan Dollars
“All Morgan dollars are rare.” Most dates are not rare in circulated grades. Rarity is grade-specific and mint-specific. A worn 1887-P is common. An 1887-O in MS65 is not.
“MS65 means perfect.” It does not. Gem means high quality with minor marks. A perfect coin would grade MS70, and essentially no Morgan dollars reach that level.
“The silver value is the main value.” For a Gem Morgan, the numismatic premium usually exceeds melt value by a wide margin. Melt is the floor, not the ceiling.
“All 1887 Morgans are worth the same.” The three mint issues can differ substantially in price at the same grade. Do not assume equivalence.
“A high mintage means low collector value.” Mintage figures describe original production. What matters for value is survival in high grade – and most of those 20 million 1887 Morgans did not survive in Gem condition.
The 1887 Morgan Dollar in a Broader Collection
The 1887 issue fits naturally into several collecting strategies. Type collectors who want one representative Gem Morgan dollar often choose a common Philadelphia date – and 1887-P in MS65 is a solid, cost-effective option. Date and mint set builders need all three 1887 issues, which means eventually sourcing the scarcer O and S mint coins in Gem grade. Advanced collectors may pursue specific VAM varieties on top of that.
For context on how the 1887 issue fits within the full production history of the series, the Morgan Silver Dollar mintage history provides a complete breakdown by year and mint.
The Morgan dollar’s enduring appeal comes from its size, its history, and its design. At 38.1 mm and 26.73 grams, it is a substantial coin. The obverse portrait of Liberty – modeled after Anna Willess Williams – and the heraldic eagle reverse give it a classic American character that has never gone out of style.
Where to Buy or Sell Your 1887 Morgan Dollar MS65
Accurate Precious Metals has been buying and selling precious metals for over 12 years from our base in Salem, Oregon. With more than 1,000 five-star reviews and nationwide shipping with insured delivery, we are one of the most trusted names in the business – and we are a specialized precious metals dealer, not a pawn shop.
Our Morgan Silver Dollar inventory includes certified examples across multiple grades and mint marks. Whether you are looking for a type coin or a specific date, our pricing reflects live spot prices and current market conditions.
If you already own an 1887 Morgan dollar in MS65 – or any other Morgan dollar – and you are thinking about selling, we buy coins at competitive prices. Local customers in the Salem, Oregon area are welcome to visit us in person at our physical location. If you are anywhere else in the U.S., our mail-in service makes it easy: request a kit, ship your coin with free insured packaging, and receive a fast offer backed by professional evaluation.
We also offer Gold and Silver IRA services for investors who want to hold precious metals in a retirement account – a path some collectors take when building a position in certified numismatic coins.
Call us at (503) 400-5608 or visit AccuratePMR.com to browse current inventory or get a quote on coins you are looking to sell.
Frequently Asked Questions
What does MS65 mean on a Morgan dollar?
MS65 is a Gem Mint State grade. The coin is uncirculated with no wear, shows strong original luster, has a good strike, and carries only minor contact marks. It is high quality but not flawless.
How much silver is in an 1887 Morgan dollar?
Each coin contains approximately 0.77344 troy ounces of silver. At the current spot price of about $77 per ounce, the melt value is roughly $59.56.
Is the 1887 Morgan dollar rare?
In circulated grades, no – it is a common date with a large original mintage. In MS65, rarity depends on the mint mark. The 1887-O and 1887-S in true Gem condition are significantly scarcer than the Philadelphia issue.
What is the difference between the 1887-P, 1887-O, and 1887-S?
Each was struck at a different U.S. Mint. The Philadelphia coin has no mint mark. The New Orleans coin carries an “O” and is rare in sharply struck MS65. The San Francisco coin carries an “S” and typically commands a premium in high grade due to stronger strike quality and collector demand.
Should I buy a raw or NGC-certified 1887 Morgan dollar?
For an MS65 coin, buying certified is strongly advisable. Cleaned and altered coins can be difficult to detect without experience, and the grade on a raw coin cannot be independently verified. An NGC holder confirms the coin has been professionally examined and graded.
What is a VAM variety on a Morgan dollar?
VAM refers to die varieties cataloged by researchers Van Allen and Mallis. For 1887, the VAM-12 DDO “Gator Eye” is a Top 100 variety with a doubled-die obverse. Some VAMs command premiums over standard issues.
Can I sell my 1887 Morgan dollar to Accurate Precious Metals?
Yes. If you are local to Salem, Oregon, visit us in person. If you are elsewhere in the U.S., use our mail-in service – free insured shipping, professional evaluation, and fast payment.
