UPDATE: Stifel Nicolaus Downgrades Aeropostale to Hold

Stifel Nicolaus is out with its report today on Aeropostale ARO, downgrading ARO to Hold. In a note to clients, Stifel Nicolaus writes, "We anticipate the fashion missteps during the 1H will likely continue into 2H with rising sourcing costs further exasperating a difficult situation. We have no visibility for improvement and are therefore downgrading to a Hold rating." At the time of posting, shares of ARO were trading pre-market at $18.40, down 13.78% from Thursday's close.