UPDATE: Deutsche Bank Downgrades Rating to Sell and Lowers PT to $24 on Blue Nile

A report from Deutsche Bank downgrades its rating from Hold to Sell and lowers its price target from $30 to $25 on Blue Nile (NASDAQ: NILE).

The report states, “The resignation of the CEO, pressures on underlying economics in engagement jewelry, and most importantly shift in strategy to a broader consumer demographic (via mix changes, positioning, marketing) may lead to earnings pressure in 2012. While such a move is positive long-term, the buildout of the business to everyday jewelry may require re-investment in the near-term."

NILE closed yesterday at $48.81.