UPDATE: Bank of America Reduces PO to $20 on Express on Lower Guidance

Bank of America reiterated its Buy rating on Express

but reduced its price objective from $25 to $20. Bank of America commented, "Express lowered its F2012 EPS guidance to $1.69-1.79 versus $1.79-1.89 previously. We are reducing our F2012 EPS estimate to $1.69 from $1.80 to reflect a softer comp forecast and lower gross margin in 2H and we are lowering our price target to $20 to reflect the new estimates. We think that Express' test-and-react strategy enables the company to fix its assortment mistakes quickly and we maintain our Buy rating as we view the current valuation as compelling given this quick fix." Express closed at $15.03 on Wednesday.