UPDATE: Morgan Stanley Initiates Coverage on Care.com on Emerging Marketplace

In a report published Tuesday, Morgan Stanley analyst Scott Devitt initiated coverage on

with an Equal-Weight rating. In the report, Morgan Stanley noted, “Care.com is an early stage company that combines an attractive story with a potentially compelling product and several growth drivers. A long path to mature margins and a valuation that already reflects a strong likelihood of success temper our outlook.” Care.com closed on Friday at $25.41.