UPDATE: Jefferies Color On VLCM Downgrade, PT Decrease

Jefferies, which

shares of Volcom Inc.

while lowering its PT, is providing some color on the stock. “PPR's pending acquisition of VLCM (for $24.50/share) has taken shares from below $20 to over $24,” Jefferies writes. “While our Buy thesis (since Sept 2010) was predicated on fundamental improvement in VLCM's business, the high likelihood of an acquisition was a factor in our upside scenario and materialized earlier this week.” Volcom currently trades at $24.40.