Morgan Stanley Increases PT on Covidien to $63, Reiterates Overweight (COV)

Morgan Stanley increased its price target on Covidien COV to $63. At the same time, it left its rating unchanged at Overweight. In a research report published today, Morgan Stanley states, "Raising target to $63 and reiterating Overweight rating. As our thesis plays out into FY12 we see a re-rating of Covidien. Our target multiple at 15x is up from our prior target multiple of 14x and is in line with supply and equipment peers." In yesterday's trading, Covidien lost 1.05% of its value to close the day at $55.65.