Cabot Shares Fall On Analyst Downgrade

BOSTON (AP) — Shares of Cabot Corp. tumbled Friday after an analyst downgraded his rating on the specialty chemicals manufacturer over concerns about the lagging market for carbon black, an ingredient in rubber compounds.

The Boston-based company's shares fell more than 10 percent in early trading. Its carbon black product is an ingredient used largely in replacement tires and new vehicle tires.

JP Morgan analyst Jeffrey J. Zekauskas cut his rating to "Neutral" from "Overweight" and slashed his price target by more than half to $8 from $17. That price target implies downside of 22.3 percent from its closing price Thursday of $10.29. ...