Hello Group downgraded to Equal Weight from Overweight at Morgan Stanley

Morgan Stanley downgraded Hello Group to Equal Weight from Overweight with a price target of $12, up from $9. The company benefits from the reopening of mobility and dating apps in China, but the stock is fairly priced compared to peers after the over 100% rally in three months, the analyst tells investors in a research note. The firm believes "stronger product breakthrough is needed" to prove Hello Group’s growth acceleration beyond the reopening.