Morgan Stanley cuts Veolia rating on lack of near-term catalysts 

** Morgan Stanley cuts Veolia VIE to 'equal-weight' from 'overweight,' citing the lack of ground for a re-rating in the short term

** The French waste and water management company presents less opportunities of re-rating or earnings per share upgrades than some of its peers, brokerage says

** With no major strategic update expected from Veolia until 2027-28, MS prefers SSE SSE, Elia ELI,

Engie ENGI or Italgas IG within the utilities sector

** "Moreover, we see a risk of sustained political uncertainty in France in the coming weeks/months, which could pose a temporary hurdle to a re-rating," brokerage says

** Among 21 analysts covering the stock, 16 rate it 'buy' or 'strong buy', three rate 'hold' and two 'strong sell' - data compiled by LSEG