J.P. Morgan Lowers JOSB Target From $45 To $40

Despite a comp slowdown in August/September, J.P. Morgan reports that Jos. A. Bank Clothiers, Inc.

seems to be gaining momentum in Q4 following a strong November. “We believe comps have sequentially improved the past 4 months,” J.P. Morgan writes. “That said, it is still noteworthy that the company missed Street expectations (both top- and bottom-line) for the first time in years last quarter, and EBIT margins declined for the first time in 7 quarters.” J.P. Morgan said that from 2005 to 2008, JOSB found ways to generate strong MSD comp growth and slight operating margin expansion (13.3% in '05 to 13.7% in '08). J.P. Morgan has lowered its PT from $45 to $40.