Agora downgraded to Equal Weight from Overweight at Morgan Stanley

Morgan Stanley downgraded Agora to Equal Weight from Overweight with a price target of $3.20, down from $4.60. The firm says that despite a slight quarter-over-quarter revenue recovery going forward, it sees no sign of meaningful emerging use case to turnaround the company’s “lackluster” demand in China and global markets. Agora is lacking signs of a meaningful revenue recovery but its high net cash and ongoing buybacks provide some valuation support, the analyst tells investors in a research note.