UPDATE: J.P. Morgan Lowers PT on DigitalGlobe to $37.50 (DGI)

J.P. Morgan is out with its report today on DigitalGlobe (NYSE: DGI), lowering its PT from $38.50 to $37.50.

In a note to clients, J.P. Morgan states, "DGI reported 4Q results that aligned with expectations. FY11 guidance was mixed as EBITDA exceeded consensus expectations on lower-than-expected revenues. FY11 will be more back-end loaded than expected. We believe that the revenue guidance factors in potential impacts to the value-added portion of the NGA business, which is dependent on the US budget cycle. Importantly, management does not anticipate any impacts from the budget on the $250mm annual SLA contract. We are trimming our ests to guidance. We maintain our Overweight rating but acknowledge that the stock could be range-bound near term owing to a lack of obvious catalysts. Our price target goes to $37.50 (from $38.50)."

At the time of posting, shares of DGI were trading pre-market at $31.05, down 3.81% from Monday's close.