Morgan Stanley points to some tax rate winners

|By:, SA News Editor

Morgan Stanley crunches some numbers on the impact of the cut in the U.S. corporate tax rate to 21% in the U.S. and a minimum 10% international rate.

Analyst Dara Mohsenian forecasts a +10% EPS benefit average across the food/beverage and household products industries (ETFs to watch: PBJ, FTXG, IYK).

Mohsenian and team think the best positioned names in the sector are e.l.f. Beauty (NYSE:ELF) +34% EPS growth upside, Blue Buffalo Pet Products (NASDAQ:BUFF) at +20%, Estee Lauder (NYSE:EL) at +16%, Dr Pepper Snapple (NYSE:DPS) at +14% and Monster Beverage (NASDAQ:MNST) at +14%.