Sterne Agee Maintains Neutral, $7 PT on Cache

Sterne Agee maintains Cache's

Neutral rating and $7 price target following the company's pre-announcement of lower 4Q 2011 earnings. In the report, Sterne Agee writes, "CACH expects Q4 EPS of $0.16-$0.18 versus prior guidance of $0.24-$0.30 and SA/FC at $0.21/$0.24. We recently downgraded shares of CACH from Buy to Neutral (see report dated 1/10/12) as we observed increased promotions Y/Y in 7 of the 8 weeks during the holiday season." Shares of Cache are currently trading at $5.90, down 0.84% from yesterday's close.