UPDATE: Citi Downgrades Fossil Following ~18% Earnings-Related Surge

Shares of Fossil FOSL have fallen more than 3.5 percent Wednesday following an earlier upgrade from Citi's Oliver Chen. The stock last traded at $121.97. Chen now rates Fossil shares at Neutral; the price target was raised from $125 to $135. The analyst believes near-term upside will be limited given a nearly 18 percent move higher on Tuesday following better-than-expected and raised guidance. Chen is concerned with a lack catalysts given the boosted outlook. Volume in Fossil remains heavy heading into the last couple hours of Wednesday's session. Over 1 million shares have traded hands, compared to the stock's average daily volume just over 800,000 shares.