UPDATE: Morgan Stanley Initiates WhiteWave Foods at Equal-Weight on Limited Upside

Morgan Stanley initiated coverage on WhiteWave Foods

with an Equal-weight rating and a $17 price target. Morgan Stanley said, "We believe WhiteWave can deliver 7-8% sales growth on the strength of increasing consumption in its categories — plant-based beverages (PBB), coffee creamers, and organic dairy. Successful innovations, particularly Silk Almond and Int'l Delight iced coffees, have enabled double-digit sales growth in 2012. Extending this momentum could drive upside to both management and consensus forecasts. However, we think maturing categories and greater competition render high-single-digit growth more realistic." WhiteWave Foods closed at $15.62 on Thursday.