UPDATE: Jefferies Downgrades Total System Services to Hold Post Acquisition

Jefferies downgraded Total System Services

from Buy to Hold and lowered the price target from $26.00 to $23.00. Jefferies noted, "We are downgrading TSS to Hold from Buy and lowering our price target, as we believe the surprising NTSP acquisition represents an unexpected change in strategy, pushing TSS into a market subject to potential margin/pricing pressure, while possibly introducing new regulatory risk and taking share buybacks off the table for the foreseeable future. We like the acquisition for NTSP shareholders and raise our price target." Total System Services closed at $23.48 on Tuesday.