MUMBAI, Oct 8 (Reuters) - Morgan Stanley cut its rating on India's Reliance Industries to 'underweight' from 'equal-weight', citing lack of near-term triggers, expectations for weaker refining margins and valuation.
The investment bank also cited concerns about Reliance's investments into businesses that offer "low" return-on-equity, as well as a subdued outlook on petrochemicals in a noted on Monday.
Morgan Stanley cut its price target on the stock to 703 rupees from 742 rupees. Reliance shares were down 1.2 percent at 847.20 rupees as of 0406 GMT. (Reporting by Abhishek Vishnoi; Editing by Gopakumar Warrier)