By Michael Dabaie
Salesforce.com Inc. shares rose 2.4% to $219.55, leading gainers on the Dow Jones Industrial Average, after an upgrade from Morgan Stanley.
Morgan Stanley upgraded the customer relationship management company to Overweight from Equal-weight with a $270 price target.
The firm said Salesforce is "well positioned for ramping digital transformation demand" and also cited more constructive margin commentary from management.
Morgan Stanley said underperformance in the stock compared to its large-cap software peer group since Salesforce said it would acquire Slack Technologies Inc. has made the valuation levels much more attractive.
Morgan Stanley last November had downgraded Salesforce.
Slack shares were up 1% to $41.64.
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(END) Dow Jones Newswires
May 19, 2021 12:36 ET (16:36 GMT)Copyright (c) 2021 Dow Jones & Company, Inc.