Citi Lowers Estimates On Aeropostale

According to Citi, Aeropostale ARO estimates are lowered. Citi said that assortment issues continue to require heavier markdowns at ARO and resulted in a sharp reduction in 2Q consensus on the heels of the company's recent 1Q revision. “The issue is centered on women's product, and more specifically junior's and knit tops, and will likely take until back-to-school to fix, at a minimum. That, combined with rising costs makes it a challenging transition for ARO.” Aeropostale closed yesterday at $21.34.