NEW YORK (TheStreet) -- Shares of TeamHealth (TMH) were lower late Tuesday morning as RBC Capital Markets and SunTrust cut their ratings on the stock.

The downgrades come after the Knoxville, TN-based physician services company agreed to be acquired by asset manager Blackstone (BX) in a $6.1 billion deal yesterday.

RBC lowered its rating on shares to "sector perform" from "outperform" and cut its price target to $43.50 from $61.00.

JANA Partners, which owns 8% of the equity, has agreed to vote in favor of the transaction, the firm noted.

"The terms of the agreement include a 40-day go-shop period, but given JANA's pledge of support, the fully committed financing and lack of financing contingencies, and Blackstone's history with TMH, which it acquired in 2005 for $1 billion and subsequently took public in 2009, we do not anticipate a superior proposal," RBC wrote in an analyst note.

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Additionally, SunTrust reduced its rating on the stock to "hold" from "buy" citing the deal, the Fly reports.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on TeamHealth.

The company's strengths can be seen in multiple areas, such as its robust revenue growth and good cash flow from operations.

But the team also finds weaknesses including a generally disappointing performance in the stock itself, deteriorating net income and disappointing return on equity.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: TMH

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