Intel: Morgan Stanley downgrades stock

(CercleFinance.com) - Morgan Stanley has downgraded its recommendation on Intel stock from "overweight" to "equal weight," while raising its target price from 61 dollars to 65 dollars (current share price just under 61 dollars).


In a report on the semiconductor sector, the broker explains that it does not see any expansion in the chip manufacturer's valuation multiples, unless restructuring measures are imminent or there is good news on the Tiger Lake/Ice Lake processor architecture.

The analyst - who says he no longer sees much upside potential in the stock - believes that industry players with greater exposure to the cloud, such as Micron and Western Digital, are now trading at more attractive valuations.


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