Morgan Stanley Maintains Underweight Rating On Dreamworks

According to Morgan Stanley, Dreamworks Animation SKG

remains Underweight. Morgan Stanley said that it is lowering its 2011E EPS estimate ~45% to $0.83 from $1.50. “We are also lowering our PT from $25 to $21. Despite the recent selloff, we continue to believe DWA's valuation is not overly compelling at current levels. Our '12 EPS estimate is 30% below consensus.” Dreamworks Animation SKG closed yesterday at $20.96.