UPDATE: Morgan Stanley Downgrades Xcel Energy to Equal-Weight on Valuation

Morgan Stanley downgraded Xcel Energy XEL from Overweight to Equal-weight and lowers the price target from $30.00 to $28.00. Morgan Stanley said, "XEL trades at ~14.0x our 2014e EPS compared to the 14.5x multiple of its large cap regulated peers. Given an average dividend yield and strong ~5% EPS growth, offset by concerns emerging in the Minnesota jurisdiction, we believe shares should trade more in-line." Xcel Energy closed at $26.91 on Wednesday.