Jefferies Downgrades Globe Specialty Metals (GSM) to Hold

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GSM Hot Sheet

Rating Summary:
2 Buy, 3 Hold, 0 Sell

Rating Trend: Down

Down

Today's Overall Ratings:
Up: 16 | Down: 7 | New: 23

Jefferies downgraded Globe Specialty Metals (NASDAQ: GSM) to Hold with a price target of $16 (down form $22.50).

The firm comments, "We are downgrading GSM and reducing earnings estimates given underperformance in silicon metal/alloy prices which we expect will drive a notable shortfall in earnings relative to consensus for CY2012. Our call is not about valuation, as we see valuations as being reasonable based on revised estimates, though we expect the shares to continue to underperform until silicon prices stabilize/recover and consensus estimates are lowered."

For an analyst ratings summary and ratings history on Globe Specialty Metals click here. For more ratings news on Globe Specialty Metals click here.

Shares of Globe Specialty Metals closed at $13.85 yesterday, with a 52 week range of $12.44-$25.67.

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