Tigress Financial Hesitant on Men's Wearhouse's New Look (MW)

Analysts that cover Men's Wearhouse MW are hesitant to make any decisive forecasts about the company's future after the abrupt departure of its founder and Executive Chairman, George Zimmer.

Zimmer was ousted unexpectedly on Wednesday, just hours before the company decided to postpone its annual shareholder meeting, which led to a swift drop in its stock and raised numerous questions about the future direction.

As the dust from the fallout between the two parties begins to settle, and the catalyst of the ruptured relationship is speculated upon, the most pertinent question for investors becomes: what stance are analysts taking when it comes to long, medium and short-term predictions about the company?

The answer so far has been anything but definitive, as most analysts hesitated to speculate about the company going forward due to the controversial and startling nature of Zimmer's departure.

Despite the uncertainty, Ivan Feinseth of Tigress Financial Partners offered some insight about the proceedings: “Everybody's shocked because the abruptness is perplexing...Smooth transitions are important, and Zimmer is still a huge shareholder, face of the company...even if someone was going to leave, it's usually under better terms.”

Feinseth went on to cite how Lululemon Athletica LULU is handling their CEO's unexpected transition into retirement and how she will stay on until her successor is named. Feinseth also spoke about the company's future, saying Zimmer's “leaving abruptly had no real negative effect on the stock. I like George Zimmer and the business they put together, but he wasn't the factor driving sales.”

Feinseth then noted how ‘economic headwinds' against specialty retailers, as well as the Men's Wearhouse's ability to market its message to consumers rather than Zimmer's face, as stronger predictors of the company's future activity.

Men's Wearhouse closed on Thursday at $36.22.