Markets & Finance

USB Piper Cuts Delia's to 'Outperform'


USB Piper downgraded Delia's (DLIA) to outperform from strong buy.

Analyst Jeffrey Klinefelter says he downgraded amid a sharp decline in both retail and catalog sales during the latter part of July. He says with the company's reduction in revenue forecast, she expects de-leveraging gross margin, as well as sales general & administration (SG&A) margins. He believes shares will continue to be pressured until the company is profitable.

Klinefelter says longer term, Delia's will benefit from its strong brand recognition and growth opportunities. He cut the $0.06 fiscal 2003 (Jan.) earnings per share estimate to a $0.20 loss, and cut the $0.30 fiscal 2004 earnings per share estimate to $0.20 earnings per share.


Burger King's Young Buns
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

 
blog comments powered by Disqus