Commerce.com downgraded to Underweight from Equal Weight at Morgan Stanley

Morgan Stanley analyst Josh Baer downgraded Commerce.com (CMRC) to Underweight from Equal Weight with a price target of $4, down from $6.50. The firm says leading indicators indicate the company is a “share donor with ongoing execution issues.” The company’s rebrand in the summer of 2025 appears to be largely a messaging reset with limited evidence of a changing product strategy, the analyst tells investors in a research note. Morgan Stanley cites weakening fundamentals and a lack of visibility into a growth recovery for the downgrade.