UPDATE: Goldman Sachs Downgrades Tumi on Limited Near-Term Catalysts

In a report published Thursday, Goldman Sachs analyst Lindsay Drucker Mann downgraded the rating on Tumi TUMI from Conviction List-Buy to Buy, but reiterated the $28.00 price target. In the report, Goldman Sachs noted, “We remove TUMI from the CL-Buy list but maintain our Buy rating. We continue to see TUMI as a compelling secular growth story, based on its differentiated brand equity, attractive category exposure to both accessories and men's, and disruptive retail model. That said, positive trading catalysts appear a bit further out than we had originally anticipated. There is no change to our estimates or P/E based $28 6-month price target, implying +20% upside. Since adding TUMI to the CL-Buy list on December 11, 2012, the shares are +7.4% vs. the S&P 500 +25.6%. The underperformance was driven by an unanticipated, but short lived, slow-down in TUMI's N Am comp sales in 2Q, as well as some margin dilution.” Tumi closed on Wednesday at $23.54.