UPDATE: Piper Jaffray Downgrades Fossil to Neutral on Uncertainty

Piper Jaffray reduced its rating on Fossil FOSL from Overweight to Neutral and lowered its price target from $128 to $76. Piper Jaffray commented, "We are lowering our investment rating on FOSL shares in view of what appears to be continued murkiness tied to a deteriorating EU situation. Simply stated, much of FOSL's success was driven by a favorable global watch cycle against a backdrop of a lean infrastructure with an overall rise in discretionary spending. What we are facing in the quarters to come is increasing macro-economic uncertainty from about half of FOSL's revenue streams at a time when they are justifiably spending on infrastructure against a potentially slowing watch cycle." Fossil closed at $68.33 on Monday.