UPDATE: Oppenheimer Downgrades Morgan Stanley after Shares Reach Price Target

In a report published on Sunday, Oppenheimer analyst Chris Kotowski downgraded Morgan Stanley

from outperform to Perform after the company hit its price target. In the report, Kotowski pointed out, "For most of the last two-plus years we have argued that MS was worth at least tangible book because it had made vast strides in its capital, liquidity and asset quality positions. The stock is now at TBV, and from here we believe that further outperformance would need to be driven by a sustained improvement in returns. While MS does have a number of opportunities and initiatives to do this (in particular its buying of the MSSB JV and its RWA reduction program), we do not currently have any reason to raise our 2014 estimate, which is about 10% above consensus." Morgan Stanley is currently trading at $26.70, down 1.10 percent from its previous close of $27.00.