(Bloomberg). — Morgan Stanley strategists have joined the ranks of European market bulls.

Estimates in the region and in Japan “look low, while valuations are undemanding,” the strategists led by Andrew Sheets wrote in a global cross-asset note. U.S. investors “should skew defensive,” they said.

Goldman Sachs has made similar optimistic calls. Strategists stated earlier this week that European stocks were less susceptible to rising rates and are more attractively priced. Peers at Citi and Julius Baer concurred, hinting at better times for the region’s equities after years of underperformance versus the U.S.

Morgan Stanley (NYSE:) Recommends exposure to European stocks in a cyclical fashion and advices foreign-exchange hedge hedging amid stronger dollar. The strategists are less upbeat on Chinese equities, advising not to buy the dip “yet,” with growth headwinds set to peak in the first quarter.

However, not everyone agrees with the bullish outlook on European equities. In a note on Friday, Bank of  America. strategists led by Sebastian Raedler doubled down on their call for a sharp correction in the region, as “growth momentum is weakening,” and “central banks are turning hawkish.”