UPDATE: Morgan Stanley Reiterates Overweight Rating, Removes PT on Delphi Automotive PLC Following Tax Rate Development

In a report published Friday, Morgan Stanley analyst Ravi Shanker reiterated an Overweight rating on

, but removed the $85.00 price target. In the report, Morgan Stanley noted, “The IRS's declaration that DLPH should be treated as a domestic corporation will have little to no impact on earnings through the end of the decade, in our view. DLPH remains an MS Best Idea The IRS disagreed with DLPH in its domicile case.After 4 years of waiting, DLPH announced that on June 24, the IRS notified that it believes DLPH should be treated as a domestic corporation (DLPH is currently based in Jersey, UK) retroactively to Oct 6, 2009, subjecting it to US federal income tax on worldwide taxable income. This would send DLPH's tax rate from 17% in 2013 to 20-22%.” Delphi Automotive PLC closed on Thursday at $67.62.