UPDATE: Morgan Stanley Raises PT on Ford Motor Company on China Market Potential

In a report published Thursday, Morgan Stanley analyst Adam Jonas reiterated an Overweight rating on

, and raised the price target from $18.00 to $20.00. In the report, Morgan Stanley noted, “A glaring strategic weakness facing Ford was its near neglect of the world's largest car market. This is rapidly changing. The capacity, product and distribution roll-out has been breathtaking, making China a major driver of Ford earnings surprises. Ford China stands at a critical inflection point. We estimate earnings from its 2 partners including a 50% JV stake in PV maker Changan Ford (CAF) and a 31.5% stake in CV maker Jiangling Motor Corp (JMC) along with imports can account for as much as 20% of Ford net earnings within 3 years vs. less than 5% last year.” Ford Motor Company closed on Wednesday at $17.54.