Morgan Stanley analyst Simon Flannery downgraded Cincinnati Bell to Underweight from Equal Weight, stating that Hawaiian Telcom's performance is declining and diluting the company's better performance in its core operations. While Cincinnati Bell smartly accelerated its fiber network build to better compete with cable, which helped drive a premium valuation versus legacy wireline companies, Flannery thinks this premium valuation may dissipate as he sees it as unlikely that Hawaiian Telcom's trends stabilize in the near-term. Flannery lowered his price target on Cincinnati Bell shares to $14 from $16. This note corrects a prior version that stated the stock was downgrade to Equal Weight.