UPDATE: Jefferies Downgrades Cabot to Hold

Jefferies is out with its report today on Cabot

, downgrading CBT from Buy to Hold. In its report, Jefferies writes, "With near-term demand choppy and Supermetals exiting the portfolio, we are lowering FY11E EPS $0.25 to $3.20 and FY12E $0.80 to $2.45. Cabot is one of the most intriguing structural transformation stories in chemicals, but near-term uncertainties likely trump the growth levers. With a better entry point likely in the next 3-6 months, we are lowering our price target $9 to $35 and our rating to Hold." At the time of posting, shares of CBT were trading at $31.95, down 4.05% from Friday's close.