UPDATE: Morgan Stanley Reiterates Overweight Rating, Raises PT on Broadcom Corporation on Baseband Exit

In a report published Tuesday, Morgan Stanley analyst Joseph Moore reiterated an Overweight rating on

, and raised the price target from $34.00 to $39.00. In the report, Morgan Stanley noted, “Broadcom announced that it is exploring strategic alternatives for its baseband business, including potential sale or wind down. The company highlighted $650 mm of net expense savings from such a move (after redeploying $50 mm to other segments), including $100 mm of stock based comp. Also raised GM expectations for 2q on mix.” Broadcom Corporation closed on Monday at $34.84.