UPDATE: Morgan Stanley Reiterates Underweight on Guess? Following Executive Departures

Morgan Stanley reiterated its Underweight rating and $21 price target on Guess?

following the announced resignations of the company's CFO and COO. Morgan Stanley said, "Guess? announced the resignations of Dennis Secor, Senior Vice President and Chief Financial Officer, and J. Michael Prince, Chief Operating Officer. Both are leaving to pursue other interests. We recently initiated with an Underweight rating on Guess, as we believe their strategy to elevate the brand in North America during a more promotional and uncertain retail environment will be challenging. We also believe European revenue growth will be challenged as unemployment continues to rise in their key markets of Italy and France." Guess? closed at $25.89 on Thursday.