KKR rises after Morgan Stanley upgrades to 'overweight'

Alternative asset manager KKR's KKR.N shares rise 1.5% to $128.82 premarket

Morgan Stanley upgrades KKR to "overweight" from "equal-weight"; raises PT to $150 from $120, an 18% upside to stock's last close

Brokerage says greater-than-expected tariff de-escalation with China can improve confidence in eventual capital markets recovery and re-accelerate the private markets flywheel

Sees KKR as a way to the play the capital markets recovery as it is well-placed to benefit from tailwinds across private credit, infrastructure, private wealth, and insurance

MS sees an attractive entry point for investors with KKR shares underperforming peers so far this year

All 21 brokerages covering the stock rate "buy" or higher; median PT $139 - data compiled by LSEG

As of last close, KKR stock down 14% YTD