Goldman Sachs Downgrades Saks Inc. (SKS) to Sell

Goldman Sachs downgraded Saks Inc. (NYSE: SKS) from Neutral to Sell with a price target of $9.00 (from $12.00), calling it a cyclical retailer bound by the macro environment.

The firm comments, "We believe consensus estimates have yet to reflect a tougher macro backdrop and now expect slowing top-line growth coupled with margin contraction to cause downward EPS revisions and multiple compression."

The firm cut FY11/12/13 EPS estimates to $0.40/$0.35/$0.40 from prior $0.50/$0.58/$0.65.

For an analyst ratings summary and ratings history on Saks Inc. click here. For more ratings news on Saks Inc. click here.

Shares of Saks Inc. closed at $10.26 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Wolfe Research Downgrades Warner Brothers Discovery (WBD) to Underperform, 'out of concern that an incipient advertising downturn put guidance at risk'
• Karora Resources Inc (KRR:CN) (KRRGF) PT Raised to Cdn$8.25 at Canaccord Genuity
• Aura Minerals Inc (ORA:CN) PT Raised to Cdn$16.50 at Canaccord Genuity