Morgan Stanley Reiterates Overweight Rating, Does Not Set PT for Watson Pharmaceuticals

In a report published earlier today, Morgan Stanley reiterated its Overweight rating for Watson Pharmaceuticals, Inc.

, but did not set a price target. Morgan Stanley said in its report “1Q revs of $1,524M were 7% above our $1,429M and 3% above cons' $1,478M. 1Q EPS of $1.64 were 4% above our $1.57 and 3% above cons' $1.60. Distribution segment (28% above MS and 38% above cons.) and ex-U.S. Generics (13% above MS) drove the top-line beat. Operating profit was in-line, but lower tax rate (35.5% vs. MS 37.5%) drove the bottom-line beat.” Watson Pharmaceuticals, Inc. closed at $76.16 on Friday.