UBS Warburg Lowers Morgan Stanley Outlook

UBS Warburg cut estimates on Morgan Stanley Dean Witter (MWD

).

Analyst Maryana Shteyman sees a 9% fiscal 2001 (Nov.) revenue decline, and says the company's full-service approach was relatively expensive, which makes it an attractive proposition only to clients with complex financial needs. She sees bleak markets and notes that limited action was taken by management to cut into capacity.

Shteyman cut the $3.62 fiscal 2001 (Nov.) EPS estimate to $3.25, and cut the $4.50 fiscal 2002 estimate to $4.25. She also raised the $70 target to $77, and rates the shares 'hold.'