Markets & Finance

Morgan Stanley Lowers Computer Associates to 'Neutral'

Morgan Stanley downgraded Computer Associates (CA) to neutral from outperform.

Analyst Vinay Shah says the stock is within 10% of his price target, he has some concerns that the mainframe cycle could start to decelerate. While it's still early in the quarter, his checks indicate business remains on track, although the overall environment remains challenging. He's concerned that IBM's mainframe business is coming up on tough comparisons, which could impact the company as well. He continues to view Computer Associates as the leader in its core market, and believes the new business model should provide less volatility in revenue and earnings

The Good Business Issue

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

blog comments powered by Disqus