UPDATE: Piper Jaffray Upgrades Zumiez to Neutral on Solid Execution
In a report published Thursday, Piper Jaffray analyst Stephanie S. Wissink upgraded the rating on Zumiez (NASDAQ: ZUMZ) from Underweight to Neutral, and raised the price target from $21.00 to $25.00.
In the report, Wissink noted, “We are upgrading ZUMZ to a Neutral rating, acknowledging the company's ability to navigate through a challenging backdrop of a maturing lifecycle and sales volatility and given investor willingness to apply a premium to growth multiple, despite secular risk. With shares having round tripped in the last five months, we are resetting our thesis, balancing our valuation justification, implying a Neutral rating is more suitable. Shares could certainly retract, but we are mindful that comparisons get easier mid-year, adding to the optics around performance.”
Zumiez closed on Wednesday at $24.90.
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