Morgan Stanley Reiterated Equal-Weight on Symantec

Morgan Stanley reiterated its Equal-weight rating on Symantec

after attending the company's analyst day. In a research report published today, Morgan Stanley states, "SYMC highlighted DLP, SaaS and Encryption as key near-term growth drivers, while product strategies ramp around secular trends like virtualization, cloud and mobile. However, with the emerging growth areas representing <10% of revs today, organic growth at SYMC is likely to remain muted. Mgmt believes better product quality, improving sales productivity, and emerging products opportunities will yield a 5-6% 3-yr org. rev. CAGR and drive EPS at a 9-11% pace. Cons. currently forecasts a 6% rev. CAGR with EPS up 12% thru FY13. At 11X CY12 EPS, SYMC is not expensive; however, we look for more comfort in the long-term growth profile before getting more constructive on the stock." At the moment, Morgan Stanley does not have a price target set on Symantec's shares. On Thursday, Symantec added 2.01% to its value to close the day at $19.31. Its shares lost some of their yesterday's losses, after falling 0.73% to $19.17.