UPDATE: Jefferies Lowers PT on Harsco to $38

Jefferies is out with its report today on Harsco HSC, lowering its PT from $40 to $38. In a note to clients, Jefferies writes, "We conducted a check-in conversation with HSC. We are maintaining our 2Q11, 2011 and 2012 EPS forecasts. We have lowered our free cash flow forecasts due to the investment requirements of the Metals & Minerals segment. This has triggered a reduction in our target price by $2 to $38 since we consider FCF an important operating metric when valuing industrials." Jefferies reiterates Buy on HSC. Shares of HSC closed Tuesday at $31.68, up 2.36% from Monday's close.