While Volcom may have beaten analysts estimates in Q2 the company’s Q3 outlook is what has pulled the stock down nearly 9% this morning. And thanks to Volcom’s forecasted 65% drop in PacSun business Wedbush Morgan has downgraded the stock from Neutral to Underperform, according to a story on StreetInsider.com.
Wedbush Morgan cut 2009 EPS estimates to $0.60 from $0.81, 2010 to $0.59 to $0.93 and lowered its price target to $8 from $12. The firm said the significant decline in PacSun biz due to fundamental changes will not likely reverse when the consumer improves.
Analysts. . .
[Link: Streetinsider.com]
