UPDATE: Morgan Stanley Upgrades First Horizon National to Overweight

Morgan Stanley is out with its report today on First Horizon National (NYSE: FHN), upgrading FHN from Equal- weight to Overweight.

In its report, Morgan Stanley writes, "We are upgrading First Horizon to Overweight from Equal-weight with a price target of $11 (unchanged). We think the market's concerns about potential losses stemming from the company's private label securitizations are overdone, as is the negative impact from the weak economy and low rates. The current price does not reflect the profitability expansion which should occur over the next several years."

Shares of FHN closed Friday at $6.08, down 0.16% from Thursday's close.