DHL Group downgraded to Equal Weight from Overweight at Morgan Stanley

Morgan Stanley analyst Cedar Ekblom downgraded DHL Group (DHLGY) to Equal Weight from Overweight with a price target of EUR 47, up from EUR 45. The stock has outperformed its logistics peers in Europe year-to-date, rerating 24% on 12-month forward enterprise value to expected EBIT multiple in the last 12 months, while its relatively more defensive businesses like Supply Chain and P&P have also supported group earnings even as Freight Forwarding and Express have been impacted by sluggish volume trends, the analyst tells investors in a research note. With cost cuts now understood and rewarded in the shares however, there is little reason for incremental upside in DHL Group, the firm added.