Christopher & Banks Sales Down 7%

Sterne Agee has published a research report on Christopher & Banks Corporation CBK after the company's 3Q was reported above estimated guidance. In the report, Sterne Agee writes "CBK is in a transition period as it is in the early stage of its search for a permanent CEO with plans to revamp its product line starting next fall under the direction of its new chief merchant Jules Rouse who was rehired in October. Other initiatives include re-establishing relationships with key suppliers in an effort to offset rising input costs along with plans to maximize store productivity and expand eCommerce. Our target price is $7 based upon 0.6x our revenue estimate for FY13 (end Feb 13). Cash and short-term investments were $84.1 million or $2.38 per share at quarter end. Long-term investments in addition totaled $18.2 million." Sterne Agee maintains its Neutral rating and $7 price target. Christopher & Banks Corporation closed yesterday at $5.75.