Anheuser-Busch InBev remains a buy after its controversial handling of a social media campaign involving a transgender influencer, according to Morgan Stanley. Analyst Sarah Simon assumed coverage of Anheuser-Busch InBev and upgraded it to overweight from equal weight. Simon called the parent company behind Bud Light a top pick, which has an attractive value after declining this year. The beverage company’s U.S.-listed shares are down about 2.7 percent this year. “We see a very favorable risk-reward at an attractive valuation,” Simon wrote to clients on Thursday. “While investors are currently sitting on the sidelines, waiting for the company to fully quantify the impact of the Bud Light situation, we see the upcoming H1 results as a potential time for such clarification.” BUD 1D Mountain Shares of Anheuser-Busch InBev 1-day analyst raised their price target to $68.50 from $64, which represents a nearly 17% upside for Anheuser-Busch InBev from Wednesday’s closing price. The stock rose 1% in Thursday’s premarket trading. Anheuser-Busch InBev has come under pressure in the US this year after it partnered with transgender influencer Dylan Mulvaney to promote Bud Light. This led to a backlash from conservative consumers as well as a boycott of the brand. Still, the analyst said any loss in market share is offset by Anheuser-Busch InBev’s exposure to emerging markets as well as lower commodity prices, which should boost the brewer’s growth. “Looking out to 2024, we see higher margin upside for beer as hedging closes and brewers benefit from lower commodity prices that have squeezed gross margins significantly over the past few years,” Simon wrote. —CNBC’s Michael Bloom contributed to this report.