UPDATE: Jefferies Downgrades Koppers Holdings to Hold, Lowers PT on Tough Road Ahead

In a report published Monday, Jefferies analyst Laurence Alexander downgraded the rating on Koppers Holdings KOP from Buy to Hold, and lowered the price target from $47.00 to $45.00. In the report, Jefferies noted, “After outperforming the S&P 500 by 16% in Q4 (and chemicals by 11%), Koppers shares have lagged by ~6% YTD . At 11.1x NTM EPS (4% below the average since 2007), Koppers trades at 74% of the S&P 500. Relative valuation, a competitive ‘moat' notwithstanding--Koppers still needs a stronger earnings cycle to outperform. This may not occur until 2014-1H15, in our view. We downgrade Koppers to Hold from Buy.” Koppers Holdings closed on Friday at $41.17.