Oppenheimer loses faith in Body Central

Analysts at Oppenheimer have downgraded Body Central

Acquisition Co. logo Body Central Acquisition from an “outperform” rating to a “market perform” rating in a report released on Tuesday.

 “BODY downwardly revised guidance for the second time in as many months (recall on May 3rd first took down in conjunction with 1Q report). Unfortunately since then June-to-date has experienced a broad-based deceleration resulting in above-plan markdowns and significant gross margin pressure. Issues are not expected to be resolved until mid-3Q at the earliest. As such, prefer to take a wait-and-see approach to planned inventory reductions/merchandise improvements. Longer term thesis intact but expect shares to be range bound near term given lack of potential positive catalysts until 3Q report in late fall.”

Body Central Acquisition has a 52 week low of $8.07 and a 52 week high of $30.93. The company has a market cap of $132.9 million and a P/E ratio of 6.62.

The company last announced its earnings results on Thursday, May 3rd. The company reported $0.36 EPS for the quarter, meeting the Thomson Reuters consensus estimate of $0.36. Its quarterly revenue was up 11.8% on a year-over-year basis. On average, analysts predict that Body Central Acquisition will post $0.23 earnings per share next quarter.