Luxottica: Morgan Stanley upgrades to 'overweight'.
(CercleFinance.com) - Morgan Stanley upgraded its rating for Luxottica to "overweight" from "equal-weight", with a target price increase from 50 euros to 65 euros, representing upside of more than 20%.
In a research note, the brokerage firm cites the group's "visionary" proposed merger with French rival Essilor.
"We have growing confidence in the merger," Morgan Stanley writes in the report, raising its synergies estimates by around 60% (now 30% above guidance).
Morgan Stanley also says it sees no material hurdles in the deal getting regulatory approval.
Luxottica shares were up 2.6 percent in Milan after these comments.
Morgan Stanley separately raised its target price on Essilor to 142 euros, while keeping an "overweight" rating on the stock.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
In a research note, the brokerage firm cites the group's "visionary" proposed merger with French rival Essilor.
"We have growing confidence in the merger," Morgan Stanley writes in the report, raising its synergies estimates by around 60% (now 30% above guidance).
Morgan Stanley also says it sees no material hurdles in the deal getting regulatory approval.
Luxottica shares were up 2.6 percent in Milan after these comments.
Morgan Stanley separately raised its target price on Essilor to 142 euros, while keeping an "overweight" rating on the stock.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.