Google Inc. was upgraded to overweight at Morgan Stanley Wednesday morning. Analyst Brian Nowak also raised his price target on the company to $820, which implies a 19% improvement from Tuesday’s closing price. The analyst attributed the improved outlook to Google’s restructuring plan, which will increase accountability and sharpen long-term capital discipline, ultimately leading to higher EBITDA and cash flow, said Nowak. He has also grown more bullish on YouTube. Shares of Google ticked up 0.8% in premarket trade, putting them on track to open around $696. Google announced plans earlier this week to create an umbrella company called Alphabet that will oversee its core Internet properties, experimental projects and venture-capital arm as separate business subsidiaries. The move has been hailed by analysts. Two banks, Stifel Nicolaus and Monness Crespi Hardt, upgraded Google to buy on Tuesday.
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