UPDATE: Goldman Sachs Downgrades KAR Auction Services to Neutral on Valuation

Goldman Sachs reduced its rating on KAR Auction Services (NYSE: KAR) from Buy to Neutral and maintained its $18 price target.

Goldman Sachs commented, "We are lowering our rating to Neutral from Buy as the stock is approaching our price target. KAR has outperformed the market and peers since our upgrade, and now trades more favorably vs. key comparable CPRT relative to the time of our upgrade, when KAR traded at a sharp discount. Also, at the time of our upgrade, our forecasts were above guidance; with the changes we make today, our projections are essentially in line. We continue to believe the firm is well-positioned."

KAR Auction Services closed at $16.50 on Friday.

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