UPDATE: Morgan Stanley Initiates Coverage on GrubHub with Equal-Weight Rating on Balanced Risk/Reward

In a report published Tuesday, Morgan Stanley analyst John Egbert initiated coverage on

with an Equal-Weight rating. In the report, Morgan Stanley noted, “We initiate on GrubHub shares with EW rating and $32 Base Case. We view GrubHub as a high-quality asset with an attractive business model addressing a $9B market in online pickup & delivery. We view risk / reward as balanced currently but think shares could rise if active diners outperform.” GrubHub closed on Monday at $32.64.