Schrodinger assumed with an Equal Weight at Morgan Stanley

Morgan Stanley analyst Sean Laaman assumed coverage of Schrodinger (SDGR) with an Equal Weight rating with a price target of $28, down from $31. Schrodinger has faced volatility due to a combination of macroeconomic factors, underperformance on initial clinical results and uncertainty on valuation and revenue drivers, the analyst tells investors in a research note. Schrodinger’s software business provides a steady stream of revenue that acts as a safety net for the stock, regardless of the outcomes of partnerships and the proprietary pipeline, the firm says.