Morgan Stanley downgraded Global-E Online Ltd (GLBE) from Overweight to Equal-weight on Monday.
The firm raised its price target to $44.00 from $37.00 despite the lower rating. Analysts noted the stock has gained 29% over the past six months and trades near its 52-week high.
The downgrade suggests that the company's growth prospects are now largely priced into the shares. Morgan Stanley indicated that the market now fully appreciates the durability of core cross-border e-commerce growth.
Future stock performance may depend on the successful ramp-up of Managed Markets services or improved take rate disclosures. The rating change occurred two days before Global-E reports second-quarter earnings on August 12.