UPDATE: J.P. Morgan Downgrades Scripps Networks Interactive to Neutral

J.P. Morgan is out with its report today on Scripps Network Interactive

, downgrading SNI from Overweight to Neutral. In its report, J.P. Morgan writes, "We are reducing our rating on SNI shares from Overweight to Neutral coincident with our initiation of the Entertainment sector expanding our coverage universe. We continue to view SNI's business positively and believe that it owns strong cable networks that rank well in their targeted demographic. However, we believe that relative to this broader coverage universe, SNI's valuation is less compelling given it has the highest exposure to the ad market in an uncertain environment, limited international opportunities, volatility in recent ratings trends, and less likely upside from content deals with digital distributors." J.P. Morgan lowers PT on SNI from $52 to $44. Shares of SNI closed Thursday at $38.88, up 3.24% from Wednesday's close.