UPDATE: Morgan Stanley Downgrades F5 Networks on Maturing ADC Mkt/Rise Of Virtual ADCs

In a report published on Monday, Morgan Stanley analyst Ehud Gelblum Downgraded

from Overweight to Equal-weight and removed the price target on the company on the belief that the current product upgrade cycle is not as big a driver as prior F5 product cycles have been. In the report, Morgan Stanley stated, "Having a full virtual product is more important than we understood and Citrix was first to market. Citrix's NetScaler has a tech lead in the fastest growth part of the mkt - virtual ADCs – which grew to 11% of the total mkt in CQ4'12 from 3% in CQ4'11." F5 Networks closed on Friday at $83.21.