UPDATE: Morgan Stanley Upgrades United Rentals Despite O&G Risk

In a report published Monday, Morgan Stanley analyst Nicole DeBlase upgraded the rating on United Rentals, Inc. (NYSE: URI) from Equal-Weight to Overweight, and reiterated the $115.00 price target.

In the report, Morgan Stanley noted, "Despite O&G risk, we remain believers in the US Non-Resi recovery as well as equipment rental secular growth. URI seems to be pricing in an O&G bear case; the stock resides at the top of our preference matrix. With 21% upside to our $115 PT, we upgrade to OW."

United Rentals closed on Friday at $93.06.