UPDATE: Citigroup Downgrades TW Telecom on Valuation, Lack of Upside

In a report published Wednesday, Citigroup analyst Michael Rollins downgraded the rating on TW Telecom TWTC from Buy to Neutral, but reiterated the $30.00 price target.

In the report, Citigroup noted, “We are reducing our rating on TW Telecom from Buy to Neutral with an unchanged target price of $30 largely based on valuation and partly based on the absence of meaningful upside to consensus revenue for 2013 and 2014 relative to our revised estimates. TWTC is up around 18% year-to-date and has outperformed the S&P 500 Telecom sector index, which is up only around 9% year-to-date.”

TW Telecom closed on Tuesday at $29.99.