Morgan Stanley Maintains Equal-Weight on UTi Worldwide (UTIW)

Morgan Stanley is out with its report today on UTi Worldwide UTIW, maintaining Equal-weight. In a note to clients, Morgan Stanley writes, "We've noted that the UTIW turnaround story is interesting, but investors must take a long term view and be willing to tolerate volatility. F4Q11 EPS only reaffirmed these themes. Management stated that many strategic initiatives are progressing and achieving milestones. At the same time, management also highlighted the longer-term nature of the strategy and a number of near-term headwinds for earnings. Given that consensus already assumes a successful turnaround (which is likely to be choppy), the near-term outlook appears challenged, and the stock has had a good run, we don't find the risk-reward compelling." Shares of UTIW closed Thursday at $18.90, up 0.16% from Wednesday's close.