GE Vernova initiated with an Equal Weight at Morgan Stanley

Morgan Stanley initiated coverage of GE Vernova with an Equal Weight rating and $167 price target. As a leading provider of energy transition equipment and services, GE Vernova is well positioned to benefit from strong secular tailwinds while operating efficiencies should drive improved profitability and cash flow, the analyst tells investors in a research note. However, the firm believes the company’s current premium-to-peer valuation appropriately balances the positive momentum it is experiencing across its three businesses and ongoing operational downside risks. It recommends investors “stay nimble and take advantage of any short-term pullback in the shares.”