UPDATE: Morgan Stanley Lowers Molycorp's PT

In a research report published earlier today, Morgan Stanley has lowered Molycorp, Inc.'s

PT to $81 in order to factor in equity issuance. Morgan Stanley commented in the report, “MCP has fallen 3% on average post-earnings since the IPO in mid-2010. Disappointed by the 3Q revenue miss and lower 4Q volume guidance, investors are concerned about any delay to the 2012 mill start-up and uncertainty on near-term sales mix and cost inflation. We think most of the cash from the recent primary issue will go to downstream integration, but MCP has not announced a plan. Investors should reward mill execution and clarity on use of cash.” Morgan Stanley reiterates its Overweight rating on Molycorp, which closed Friday at $28.06.