NEW YORK (TheStreet) -- Shares of Molson Coors Brewing (TAP) closed higher by 2.15% to $74.54 on Thursday afternoon, after analysts at Morgan Stanley upgraded the stock to "overweight" from "equal weight" and set an $83 price target on the beer maker.
The firm said it raised its rating on the company that produces Coors Light due to a "compelling" risk/reward profile after the recent pullback in price, MarketWatch reports.
Morgan Stanley feels the consensus earnings per share estimate is now reasonable given recent downward revisions, and sentiment has become too negative.
"U.S. expectations are low, and a muted potential U.S. macro-driven recovery could now be more favorable than the market expects," Morgan Stanley said in an analyst note, MarketWatch added.
Separately, TheStreet Ratings team rates MOLSON COORS BREWING CO as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate MOLSON COORS BREWING CO (TAP) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, expanding profit margins and solid stock price performance. We feel its strengths outweigh the fact that the company has had sub par growth in net income."
Highlights from the analysis by TheStreet Ratings Team goes as follows: