UPDATE: Jefferies Downgrades GrafTech International to Hold on Deteriorating Prospects

Jefferies reduced its rating on GrafTech International

from Buy to Hold and lowered its price target from $15 to $9. Jefferies commented, "Our first round of channel checks regarding 2013 contract negotiations revealed a far weaker market than was anticipated with meaningfully lower YoY prices expected for electrodes/needle coke, excess channel inventories and a more intense competitive environment globally. Earnings in 2013 will decline YoY under these conditions with potential improvement in pricing later-cycle too far from sight to benefit GTI's valuation near term." GrafTech International closed at $9.93 on Friday.