UPDATE: Benchmark Downgrades The Pep Boys to Hold

Benchmark lowers its rating on The Pep Boys (NYSE: PBY) to Hold as the company receives a $15/share bid in cash, which becomes the new target on shares (from $14 previously).

Benchmark says, "Despite a low valuation, for a takeout, we have no reason to believe a competing offer will be made. Based on the fact that we believe the deal will go through at the $15 per share price, we have increased our price target to $15 per share, from $14. Given the limited upside to our price target, we are lowering our recommendation to Hold, from Buy."

PBY closed at $14.93 a share yesterday.