Morgan Stanley Sees Lack of Trust in Petroleo Brasileiro Petrobras SA

In a report published Monday, Morgan Stanley analyst Bruno Montanari reiterated an Equal-Weight rating and $16.00 price target on

. In the report, Morgan Stanley noted, “We agree with most of PBR's senior management statements on the attractiveness of the new barrels in the Transfer of Rights area. However, we think the company is understating an increased perception of government interference when asking investors to trust the decision and focus on LT fundamentals.” Petroleo Brasileiro Petrobras SA closed on Friday at $14.63.