Here Are All Of Morgan Stanley's Internet Stock Rating And Price Target Changes
Morgan Stanley analyst Brian Nowak has changed his perspective on the internet industry from attractive to in line. The analyst believes it would not be easy to find multiple expansions for driving the sector in the upcoming periods.
Therefore, the brokerage prefers names from large-cap bellwethers that provide attractive growth-adjusted valuations apart from uptrend revisions. The analyst pointed out that the sector has outperformed the broader index by 4,700 basis points since the beginning of 2015.
In a research note to clients, Nowak said, "We see a more balanced risk-reward following ~4,700bp sector outperformance vs. the market YTD and now see both large and Smid-cap valuations in-line with growth-adjusted historical levels. More specifically, we remain bullish on Facebook Inc (NASDAQ: FB), Priceline Group Inc (NASDAQ: PCLN), Alphabet Inc (NASDAQ: GOOGL), and Amazon.com, Inc. (NASDAQ: AMZN)."
In all, the brokerage reviewed six stocks and lifted the price target on four companies while downgrading the rating on three stocks. The analyst retained the price tag on one company.
Internet Ratings And Price Targets
The following stocks are downgraded from Equal Weight to Underweight:
- TrueCar Inc (NASDAQ: TRUE): Price objective increased from $5.00 to $6.40.
- The Rubicon Project Inc (NYSE: RUBI): Price target slashed from $11.00 to $8.00.
- RetailMeNot Inc (NASDAQ: SALE): No change in price tag of $8.60.
The following stocks rating are reiterated with an Equal-Weight rating:
- GrubHub Inc (NYSE: GRUB): Target price increased from $31.00 to $36.00.
- Yelp Inc (NYSE: YELP): Price object lifted from $29.00 to $34.00.
- Etsy Inc (NASDAQ: ETSY): Price target boosted from $11.50 to $13.50.
At Time Of Writing...
- Etsy was down 0.33 percent at $13.60.
- GrubHub was up 0.54 percent at $41.06.
- RetailMeNot was down 8.75 percent at $10.48.
- The Rubicon Project was down 7.26 percent at $8.18.
- TrueCar was down 5.1 percent at $8.38.
- Yelp was up 0.08 percent at $37.42.
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Latest Ratings for TRUE
|Sep 2016||Morgan Stanley||Downgrades||Equal-Weight||Underweight|
|Aug 2016||B. Riley||Upgrades||Sell||Neutral|
|Aug 2016||Loop Capital||Initiates Coverage on||Hold|
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