Sempra Energy price target lowered to $85 from $100 at Morgan Stanley

Morgan Stanley analyst David Arcaro lowered the firm’s price target on Sempra Energy (SRE) to $85 from $100 and keeps an Overweight rating on the shares after the company lowered its earnings outlook by 9%-10% on a “confluence of near-term unexpected headwinds.” The firm is lowering estimates, but thinks the market “overshot” as it still sees upside value in the sum of the parts and “highly desirable exposure to industry-leading Texas growth,” the analyst tells investors.