Morgan Stanley analysts led by Evan Calio upgraded Concho Resources to Overweight due to a more constructive view on the long-term commodity outlook, raising long-term oil price assumption for Brent to $80 and upgraded the E&P industry view to Attractive. Calio said Concho offers attractive risk/reward, a best in class hedge portfolio if oil prices dip near-term, and underappreciated leverage to crude, particularly to an expected recovery in mid-2017 to early 2018. The analyst sees significant upside to consensus estimates and raised Concho's price target to $173 from $83 on higher long-term commodity price assumptions.