Exchange: Morgan Stanley recommends overweight for cyclically in Europe
2014-10-07 22:13
(SIX) Morgan Stanley raises recommendation for European cyclical shares to overweight. This is because a weaker growth now seems "increasingly priced into "the segment. Among specific cyclical sectors raises Morgan Stanley while industrial companies to obesity. "Many industrial companies are reviewing sold out, with attractive valuations and in some areas of improvement in earnings per share-momentum " writes Morgan Stanley's European equity strategy team analysis update. Looking at the prospective p / e ratio for cyclicals relative defensive stocks as Morgan Stanley believes that the former is now trading to the lowest relative valuation since November 2008. Other valuation measures such as normalized P / E ratio (which canapés out profits over a period of years, SIX notes) provide less support to that thesis, allows the bank. Therefore adds Morgan Stanley to remain selective about the company selection in the cyclic universe now overweight. Meanwhile, Morgan Stanley lowers health care sector to underweight, SIX which wrote about earlier on Tuesday. The bank sees the sector values "are increasingly stretched." Johan Eklund, +46 31 350 64 87 mailto: johan.eklund@six-group.se www.blogg.six.seSIXNews SIX News
No comments:
Post a Comment