UPDATE: Morgan Stanley Upgrades Western Digital Corp. to Overweight, Reiterates $85 PT as Cloud Adoption Drives Rating Changes

In a report published Wednesday, Morgan Stanley analyst Katy L. Huberty upgraded the rating on Western Digital Corp. WDC from Equal-Weight to Overweight, and reiterated the $85.00 price target. In the report, Morgan Stanley noted, “We move to a Cautious view of our group as cloud computing adoption accelerates faster than expected. We downgrade ACN to EW, NTAP to EW, and TDC to UW on revenue and multiple risk from cloud adoption, and upgrade BRCD to EW and WDC to OW on better risk/reward. We favor AAPL, HPQ, WDC into 2014.” Western Digital Corp. closed on Tuesday at $80.51.