UPDATE: Morgan Stanley Downgrades Alkermes As Good News Is Appreciated

In a report published Thursday, Morgan Stanley analyst David Risinger downgraded the rating on Alkermes Plc (NASDAQ: ALKS) from Equal-Weight to Underweight, but named a $61.00 price target.

In the report, Morgan Stanley noted, "Downgrade from E-W to UW relative to our coverage universe on expectations for weak lauroxil launch plus risk of Ampyra going generic sooner than expected.Setting a PT of $61 (12x our '16E rev), a 20% premium to the comp median of 10x."

Alkermes Plc closed on Wednesday at $67.12.