UPDATE: Morgan Stanley Raises Price Target On Ares Management LP As Strong RE Fundraising Drives Estimates Higher

In a report published Tuesday, Morgan Stanley analyst Michael J. Cyprys reiterated an Equal-Weight rating on

, and raised the price target from $19.00 to $20.00. In the report, Morgan Stanley noted, “Better than expected real estate fundraising (across debt and equity strategies) supports our outlook for strong flows to alternatives. We increase our real estate fundraising estimates for ARES by $600m and $1.1b in 2015-16 on the back of ARES announcing an impressive $700m fundraise from a single insurance company (8% of ARES' real estate AUM). This demonstrates large pools of assets flowing to alternative managers that should continue to benefit our coverage group for the foreseeable future. Positive read across for Blackstone's real estate business.” Ares Management LP closed on Monday at $19.61.