Daimler: Morgan Stanley maintains 'Overweight' rating
(CercleFinance.com) - On Tuesday Morgan Stanley reiterated its "overweight" recommendation on the Daimler share, saying that the market was placing too much emphasis on the scenario favoured by sellers.
While it says it shares the "structural" concerns surrounding the German automaker, the broker believes that these fears are more than priced in.
"We don't disagree on the issues but on how much is priced in, and how much stays priced in. We think ST demand, net debt, and CO2 penalty fears are overdone, while ECB QE and management change have been ignored," the broker points out in a note.
Morgan Stanley has a target price of 62 euros for the Daimler share.
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