Piper Sandler analyst Jeffrey Harte downgraded Morgan Stanley to Neutral from Overweight with a price target of $59, up from $56. The shares closed Thursday up $3.50 to $56.44. The stock rallied after reporting a strong earnings beat and seeing management raise the bar on its financial targets, Harte tells investors in a post-earnings research note. However, the analyst says the recent appreciation has "meaningfully narrowed the gap" between the stock's valuation and underlying fundamentals. He cites valuation for the downgrade of Morgan Stanley to Neutral.

Notable companies reporting before tomorrow's open, with earnings consensus, include UnitedHealth (UNH), consensus $6.21... Johnson & Johnson (JNJ), consensus $2.47... Bank of America (BAC), consensus 72c... Morgan Stanley (MS), consensus $1.66... PNC Financial (PNC), consensus $3.02... BNY Mellon (BK), consensus $1.19.

Goldman Sachs (GS) is scheduled to announce quarterly results on April 15, while Morgan Stanley (MS) and Bank of America (BAC) are expected to report earnings the following day. What to watch... To see the rest of the story go to thefly.com. See Story Here