"We believe American Eagle Outfitters will be a winner in the teen space, driving [revenue] with promotions that we believe were all planned," Tennant wrote.
Even the credit ratings agencies have been slow to act. After Sears Holdings (SHLD) announced it was closing underperforming stores, the retailer was downgraded by Standard & Poor's two notches this week to CCC+ from B, or further into junk territory.
Sears has been under pressure for some time, but it took S&P this long -- and the announcement of store closures and profit warning -- to decide the flailing department store will "remain under pressure" in 2012.
-- Reported by Jeanine Poggi in New York.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV