UPDATE: Morgan Stanley Maintains Overweight on McKesson Corp, Lowers PT to $180.00 from $190.00

In a report published Tuesday, Morgan Stanley analyst Julie Murphy maintained an Overweight rating on McKesson Corporation MCK, lowering its price target to $180.00 from $190.00. According to the report, the analysts outline three potential scenarios and related accretion that could unfold following MCK's failure to tender 75 percent of CLSG shares: -”Establishing new JV with RAD / WMT and/or Celesio. The opportunity to gain share of customers' generic wallet represents a core part of our MCK investment thesis.” -”Share buybacks. We estimate MCK had ~$3.5 billion in cash at the end of the December quarter of which $1.5 billion is ex US.” -”Another go at Celesio. According to a MCK filing, the company must wait 4-days following the failure of a tender to place another offer for shares if it chooses to.” The report further asserted that they now model FY14/FY15 EPS of $8.76/$10.47 down from prior estimates of $8.69/$11.03 and above cons' $8.62/$10.39. Their updated model assumes $2.5B ASR in the March quarter, but no benefit from potential JV or an acquisition. MCK closed Monday at $167.14.