UPDATE: Morgan Stanley Downgrades Freeport-McMoran

Analysts at Morgan Stanley downgraded shares of Freeport-McMoRan FCX from Overweight to Equal-Weight with a $41 price target.

Paretosh Misra cited several sector weaknesses may cause shares of Freeport to depreciate, such as decreasing copper values and a rise in copper inventory.

Analysts also see uncertainty in Freeport's Indonesian Grasberg mine.

“FCX will discuss several issues related to amendment of its contract for the Grasberg mine (~25% of 2015-16e EBITDA) with the govt. of Indonesia over the next 6 months, including divestment of up to ~20% of the mine.”