Morgan Stanley lowered Grab Holdings’ price target amid macroeconomic risks but maintained a positive outlook on growth and margins.
Morgan Stanley reduced its price target for Grab Holdings (NASDAQ:GRAB) to $5.90 from $6.40 while reiterating an Overweight rating. The firm acknowledged macroeconomic and regulatory uncertainties but noted the company’s ability to balance growth, margins, and capital returns in the first quarter.
Grab reported a 20% year-over-year revenue increase over the past twelve months, exceeding expectations. Benchmark maintained a Buy rating and a $7 price target, citing disciplined execution, product innovation, and AI-driven efficiencies as key drivers of its improving operating model.
Despite risks like fuel fluctuations and regulatory challenges, analysts remain optimistic about Grab’s tools to address these issues. The company remains a leading superapp in Southeast Asia, spanning food delivery, mobility, and financial services.