Piper Jaffray Downgrades VF Corp. To Neutral (VFC)
Piper Jaffray is downgrading its outlook on shares of VF Corp. (NYSE: VFC) to Neutral from Overweight on a slowing consumer environment. It cut the price target to $79 from $89.
In a note to clients, Piper Jaffray says, "We are moving to a Neutral rating on VFC shares as we believe trends in entry price point denim are decelerating as the consumer environment slows and competitors continue to lower price points to drive share gains. We have also reduced our multiple on shares from 13x to 12x FY11 as we believe the stock should trade in line with the S&P500 given our more muted expectations for growth, but potential for long term total returns through a combination of dividends and international growth."
Shares of V.F. Corporation closed at $72.81 yesterday.
