(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}
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