UPDATE: Morgan Stanley Reiterates On Western Digital As Cloud, MOFCOM Remain Catalysts

In a report published Thursday, Morgan Stanley analyst Katy L. Huberty reiterated an Overweight rating on Western Digital WDC, but lowered the price target from $106.00 to $100.00. In the report, Morgan Stanley noted, “In-line March and seasonally weak June quarter guidance doesn't impact our view that accelerating cloud demand, stabilizing PC shipments, and potential $1.50/share cost savings post a favorable MOFCOM ruling could drive better EPS growth in FY15. Our $100 price target (down from $106) assumes a 12x P/E multiple on our FY15e EPS of $8.35.” Western Digital closed on Wednesday at $88.08.