UPDATE: Morgan Stanley Downgrades SanDisk Following Good Quarter, Profitability Discount
In a report published Thursday, Morgan Stanley analyst Joseph Moore downgraded SanDisk (NASDAQ: SNDK) from Overweight to Equal-Weight, but raised the price target from $60.00 to $66.00.
In the report, Morgan Stanley noted, “ASPs have risen sequentially only once in company history before 4Q12, but it has now happened three straight quarters, and gross & operating margins are approaching historic peaks. We expect earnings to remain near these levels for several qtrs, but with the stock trading at 13x our peak 2014 estimate, or 10x excluding cash, we are stepping to the sidelines.”
SanDisk closed on Wednesday at $59.44.
Latest Ratings for SNDK
|Mar 2016||Redstone Technology||Downgrades||Positive||Neutral|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.