Piper Jaffray Lowering Price Target On Talbots (TLB)

Piper Jaffray is lowering its price target to $12 from $14 on The Talbots, Inc. TLB after the women's clothing retailer reported weaker than expected earnings. Piper is maintaining its Neutral rating on shares. In the note clients Piper Jaffray writes, "We are maintaining our Neutral rating on TLB shares following the company's FQ2 report. While we are encouraged by recent gains in gross margin, FQ2 sales metrics continue to leave us unconvinced that Talbots can attract and retain a new, somewhat younger customer base. We are remaining on the sidelines with respect to TLB shares until we gain further visibility as to the company's ability to gain market share longer term." Shares of Talbots lost 14 cents yesterday to close at $10.97, a loss of 1.26%.