UPDATE: Topeka Capital Markets Initiates Coverage on Aeropostale with Hold Rating, $15 PT Awaiting Key Strategy Implementation

In a report published Thursday, Topeka Capital Markets analyst Dorothy S. Lakner initiated coverage on Aeropostale

with a Hold rating and $15.00 price target. In the report, Lakner noted, “We are initiating coverage of ARO with a Hold rating and a $15 target while waiting for the company to put more fashion into its mix and move towards a more emotional connection with its teen customer. We believe ARO is on the right track, but it needs more time to implement its key merchandising and marketing strategies which will, we think, allow it to put sales and margins back on an upward path. We'd like to see more of its fashion direction before taking a more positive view.” Aeropostale closed on Wednesday at $13.61.