UPDATE: Morgan Stanley Reiterates Underweight Rating, Lowers PT on 3M Co. on Challenges Ahead

In a report published Thursday, Morgan Stanley analyst Nigel Coe reiterated an Underweight rating on

, but lowered the price target from $138.00 to $135.00. In the report, Morgan Stanley noted, “We see a more challenging 2H and 2015 set-up for MMM driven by sluggish global growth and incremental cost pressures from F/X and pension. We expect the initial 2015 guidance range to come in below consensus, which could drive de-rating. We lower our PT to $135 vs. prior $138.” 3M Co. closed on Wednesday at $139.18.