Auriga Cuts EPS Estimates on Columbia Sportswear (COLM); Decent Q4, But See Tough Year Ahead

Auriga maintains a 'Hold' on Columbia Sportswear (NASDAQ: COLM) price target of $48.00.

Auriga analyst said, "COLM reports small upside to Q4; guides 2012 for low single digit growth. COLM reported slight upside to reduced expectations for Q4. The unseasonably warm winter led to lackluster outerwear sell through at retail and excess inventory at the end of season. COLM guided both sales and earnings to increase 2-3% in 2012 as the impact of a weak selling season likely translates to weak orders for the upcoming fall season. We are cutting our 2012 EPS estimate to $3.13 from $3.32 to reflect 2% sales growth. While we believe COLM is well positioned to grow its technical Omni-Heat product and its Sorel brands, excess inventory and skittish retailers have left COLM in a position of little growth in the short-term. Until we have increased visibility with regard to COLM's ability to grow sales 10%+ in 2013, we are maintaining our rating."

For an analyst ratings summary and ratings history on Columbia Sportswear click here. For more ratings news on Columbia Sportswear click here.

Shares of Columbia Sportswear closed at $47.90 yesterday.

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