UPDATE: Raymond James Downgrades Student Transportation to Perform

Raymond James downgrades Student Transportation (NASDAQ: STB) to Market Perform from Outperform based on recent price appreciation.

Raymond James says, "We continue to believe that STB's long-term prospects look bright, underpinned by the company's strong defensive characteristics, quality management team, and attractive growth opportunities (see our Nov-21-11 Comment, “Kids Keep Going to School; `Big Yellow` Proves Both Defensive & Ripe With Opportunities”, price C$6.15, for details). In light of recent share price appreciation, we believe the risk-reward relationship has diminished significantly enough to warrant a downgrade to Market Perform (versus Outperform previously)."

STB closed at C$6.80 per share on Thursday.