Corpay assumed with Overweight from Equal Weight at Morgan Stanley

Morgan Stanley upgraded Corpay (CPAY) to Overweight from Equal Weight with a price target of $379, up from $322, after assuming coverage of the name. Morgan Stanley sees potential for Corpay to post sustained mid- to high-teens earnings growth. Investor concerns around stablecoin are overblown, the analyst tells investors in a research note. The firm says 80% of Corpay’s cross-border volume involves bi-directional flows in G10 currencies, where transaction costs are already in the low- to mid-single digits, making the “cost advantage” of stablecoins largely irrelevant.