Piper Jaffray Reports On PSUN After CEO's Presentation

Piper Jaffray is maintaining its Underweight rating and its $3.50 price target on Pacific Sunwear PSUN following a presentation from company CEO Gary Schoenfeld at Piper Jaffray's Annual Consumer Conference. In the report, Piper Jaffray writes, “The company reiterated 600-700 stores as an optimal long term goal. Based off that store count, another 130 stores could be rationalized, with 30 closings planned for this year. From last quarter's earnings call, management said they were working on renegotiating lease terms but no update was provided at today's presentation. We believe that landlords want to retain PSUN and there could be some advantageous deals struck near term.” PSUN closed yesterday at $2.52.