Polaris downgraded to Equal Weight from Overweight at Morgan Stanley

Morgan Stanley analyst Megan Alexander Clapp downgraded Polaris (PII) to Equal Weight from Overweight with a price target of $60, down from $81. 2025 should see more relief on affordability for consumers, and Morgan Stanley’s analysis of historical patterns suggests a rebound in demand for the powersports companies, the analyst tells investors in a research note. Yet, the firm thinks the stocks could be range-bound with “still elevated absolute affordability and muted” consumer confidence limiting positive estimate revision. Even after the expected improvement, prices will remain elevated, an important consideration for a highly discretionary purchase, contends the firm. It downgraded both Polaris and Harley-Davidson “absent conviction in a near-term demand inflection.”