UPDATE: Morgan Keegan Lowers PT from $14 to $8.50 and Downgrades Diana Shipping to Market Perform

Morgan Keegan has published a report on Diana Shipping (NYSE: DSX) downgrading the company and lowering the price target.

In the report, Morgan Keegan wrote, "While we believe that the company is pursuing a prudent long-term strategy, we have concerns about the slowing global economy, continued weakness in drybulk fundamentals and the pace with which DSX is pursuing vessel acquisitions. We are lowering our 2012 EPS estimate from $1.05 to $0.72, which is primarily being driven by lower expectations for charter renewals."

Morgan Keegan downgraded Diana Shipping from Outperform to Market Perform and lowering the price target from $14 to $8.50. Diana Shipping closed Thursday at $8.53.