Visteon's Stock Jumps To 16-month High After Morgan Stanley Upgrade

By Tomi Kilgore Markets MarketWatch Pulse

Shares of Visteon Corp. rallied 4.5% toward a 16-month high in morning trade Friday, after Morgan Stanley upgraded the auto parts maker. Analyst Adam Jones raised his rating to overweight from equal weight and his stock price target to $115, which is 8.1% above current levels, from $103. Jones said he made "significant changes" to his earnings forecasts in the wake of "much stronger than expected" first-quarter results. "While we are not in a position to extrapolate 1Q performance directly into the immediately subsequent quarters, we have been given enough reason to see or prior forecasts as overly conservative," Jones wrote in a note to clients. The company reported on April 27 first-quarter profit and sales that beat expectations. The stock recently traded at $106.34, the highest level seen since Jan. 13, 2016. It has run up 32% year to date, while the S&P 500 has gained 6.8%.

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