I am trying to figure out why KND has fallen back since it's downgrade from Jeffries.

First, I can not find anywhere WHY KND was downgraded. Economy? Future Earnings? Debt concerns?

Here's what I know:

$1.78 EPS, meaning a 8.58 PE for the trailing 12 months (I don't know where Yahoo is getting its 35 figure. This includes last week's earnings beat (even with a $4 Million "loss" (or whatever you want to call it) on lost/unrealized Medicare reimbursement revenue.

Debt figure was decreased by $15M last quarter to just over $250M. No credit risk here it seems.

After EVERY earnings report KND shoots up on HIGH volume and falls back on low volume. I just can't understand this.

Future earnings potential as Baby Boomers retire and enter nursing home facilities and Obama give EVERYONE access to healthcare.

Does anyone have any insight, ideas why KND trades the way it does? It seems to defy logic.