Shares of Titan Company declined 1 percent in the early trade on July 4 after foreign brokerage house Morgan Stanley downgraded the stock to the equal-weight from overweight.

The brokerage house has kept the target at Rs 1,300 per share.

According to Morgan Stanley, the company is one of the favourite long-term plays. However, it is reluctant to push multiples beyond current levels.

It sees balanced risk-reward at present stock price and expects less room for positive surprises in coming quarters.

At 09:22 hours, Titan Company was quoting at Rs 1,313.60, down Rs 14.30, or 1.08 percent on the BSE.