UPDATE: Morgan Stanley Reiterates on Aeropostale as Cash Burn Accelerates

In a report published Friday, Morgan Stanley analyst Kimberly C. Greenberger reiterated an Underweight rating on Aeropostale ARO, but lowered the price target from $6.50 to $6.00. In the report, Morgan Stanley noted, “We believe the Street does not fully understand the magnitude of ARO's liquidity concerns. Even a very rosy FY14 outlook implies a $92M FY14 cash burn. In the absence of this dramatic acceleration, we see going concern issues in 2015; reiterate UW.” Aeropostale closed on Thursday at $7.30.