UPDATE: J.P. Morgan Downgrades LoJack Corp to Neutral (LOJN)

J.P. Morgan is out with its report today on LoJack Corp LOJN, downgrading LOJN from Overweight to Neutral. In a note to clients, J.P. Morgan writes, "We are trimming estimates and downgrading LOJN to Neutral, assuming higher legal costs and slower licensing revenues associated with Global Tracking, the licensee in Brazil. We believe LOJN is still undervalued, in the context of a cyclical recovery in auto demand, but risks will weigh on the stock, which we expect to perform in line with the mean of our coverage until we get more clarity on the dispute with Global Tracking. Our price target goes to $7.00 from $9.00." Shares of LOJN closed Thursday at $4.94, up 1.65% from Wednesday's close.