NEW YORK (TheStreet) -- Shares of SanDisk Corp (SNDK) were slipping, down 3.84% to $63.56 in early market trading Monday, after analysts at Morgan Stanley lowered its rating on the flash-memory chip maker this morning, citing increased headwinds.
The firm downgraded SanDisk to "equal weight" from "overweight" with a lower price target to $75 from $80.
Morgan Stanley analysts said the company is losing market share and will likely see lower margins.
The firm added that execution issues, especially with its biggest customer Apple (AAPL), are not over.
Morgan Stanley expects Samsung (SSNLF) to become one of the iPhone 6 suppliers.
Milpitas, Calif.-based SanDisk designs, develops and manufactures data storage solutions in a range of form factors using its flash memory, controller and firmware technologies.
Separately, TheStreet Ratings team rates SANDISK CORP as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate SANDISK CORP (SNDK) a BUY. This is driven by multiple 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 and expanding profit margins. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself."
Highlights from the analysis by TheStreet Ratings Team goes as follows: