Worried about recession? Then maybe you want to take a fresh look at
That advice comes courtesy of Morgan Stanley analyst Erik Woodring. On Thursday, he boosted the firm’s rating on IBM (ticker: IBM) shares to Overweight from Equal Weight, with a new price target of $150, up from $147. IBM shares on Thursday were recently up 1% to $127.43.
In particular, Woodring sees the stock as an excellent place to hide from what his firm sees as increasing potential for a U.S. economic downturn.
Woodring is “increasingly concerned” that macroeconomic headwinds could pressure both profits and earnings multiples for enterprise hardware plays in coming quarters, he writes. Overall, Morgan Stanley’s economics team sees “rising risk” of a U.S. recession and expects…