Another Downgrade for Skullcandy and Another Oversized Response

(This is an excerpt from an article I originally published on Seeking Alpha on January 3, 2013. Click here to read the entire piece.)

A little over a week ago, I wrote optimistically that Skullcandy (SKUL) could make 2013 a comeback year. Those hopes were dashed right at the gate of the new year as Jeffries downgraded SKUL from Buy to Underperform with a $6 price target. {snip}


Jeffries slams Skullcandy
Jeffries slams Skullcandy

Source: FreeStockCharts.com

Streetinsider quotes Jeffries as blaming competition for the downgrade:

{snip}

This assessment is readily discernible from the last earnings conference call, and I cited most of it in my last piece on SKUL. While I expressed optimism, Jeffries clearly thinks the opposite. {snip}

The next potential catalyst for SKUL is that more shorts might start to cover once/if the stock closes in on $6/share. {snip}

Be careful out there!

(This is an excerpt from an article I originally published on Seeking Alpha on January 3, 2013. Click here to read the entire piece.)

Full disclosure: long SKUL

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