As previously reported, Morgan Stanley analyst Ravi Shanker downgraded Echo Global to Underweight from Equal Weight, as he believes brokers like Echo deserve a "mid-teens multiple at best" as he thinks the mandate for electronic logging devices, or ELDs, will present a challenge to all brokers. Though Echo's high spot exposure may leave it somewhat better positioned than contract exposed peers, Shanker sees this as more than priced into the stock, he tells investors, adding that the market appears to be significantly underestimating the risk of shippers reducing their reliance on brokers altogether in 2018. Due largely to a 20% EPS increase from tax reform, Shanker increased his price target on Echo shares to $20 from $15.