TaskUs cut to Equal Weight at Morgan Stanley ahead of take-private vote

As previously reported, Morgan Stanley downgraded TaskUs (TASK) to Equal Weight from Overweight with a price target of $16.50, down from $21. Investor focus remains on take-private shareholder vote this week, the analyst tells investors in a research note, noting that the firm’s “bull case” is now seen at $21 should the transaction close at a higher price. Morgan Stanley adds that the take-private deal would afford TaskUs greater flexibility to invest behind long-term growth initiatives such as Gen AI and will strengthen the company’s competitive positioning in the market.