Morgan Stanley Downgrades Lucent Rating
Morgan Stanley downgraded its investment rating on shares of Lucent Technologies (LU ) to neutral from outperform.
Analyst Alkesh Shah says that although he is encouraged by the company's new product portfolio, and its restructuring progress, he believes recent stock price appreciation is ahead of any improvement in company or industry fundamentals. Shah estimates the shares' fair value at $8. However, despite several near term concerns, the analyst has a positive long term outlook on Lucent.