RBC has just upgraded Morgan Stanley's price target, lifting it from $185 to $207. That's a solid bump that reflects more optimistic sentiment around the financial services giant.

What's driving this move? The upgrade likely reflects confidence in Morgan Stanley's business fundamentals and market positioning heading into the next phase. With the new target at $207, analysts are signaling they see meaningful upside potential from current levels.

For traders and investors tracking financial stocks, this is worth paying attention to—especially if you're monitoring how major institutions are adjusting their outlooks. The $22 price bump between the old and new targets tells you RBC sees some compelling reasons to get more bullish on the name.