UPDATE: Piper Jaffray Downgrades Coldwater Creek to Neutral, Lowers PT Following Company FQ2 Report

In a report published Wednesday, Piper Jaffray analyst Neely J.N. Tamminga downgraded the rating on Coldwater Creek CWTR from Overweight to Neutral, and lowered the price target from $9.00 to $5.00. In the report, Piper Jaffray noted, “We are moving to Neutral on CWTR shares following the company's FQ2 report in which it reported EPS of ($0.54). SSS were down 7.3% driven primarily by a decline in traffic. Management discussed cautious guidance for FQ3 in view of the unspectacular FQ2 results and a lack of turnaround in traffic QTD in FQ3. Management expects FQ3 SSS to be down in the high-single-digits and gross margin to be flat to slightly down.” Coldwater Creek closed on Tuesday at $2.74.