Fickle teens and the rise of fast-fashion stores may be about to claim yet another once-prominent teen apparel chain.

According to Bloomberg, surf and skate apparel purveyor Pacific Sunwear (PSUN) is preparing to file for Chapter 11 bankruptcy. The filing could come as early as next week, says the report. In pre-market trading Tuesday, the company's stock was down 40% to $0.21.

The news comes just a few months before the start to the critical back-to-school shopping season, and should be little surprise. 

Pacific Sunwear has for years has struggled to connect with teens opting for trendy and cheap fashion pieces from H&M and Forever21, instead of the company's more expensive looks inspired by California lifestyles. 

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PacSun, as it it is called by consumers, had little momentum headed into the holiday season, with same-store sales falling 3% at its over 600 stores and the company recording a net loss of $3.4 million in the third quarter. The company had a mere $11 million in cash at the end of the third quarter, and was predicting another loss for the holidays.

The company has not been profitable since the height of the consumer spending boom in 2006, when it operated about 965 stores.

Pacific Sunwear hasn't released its fourth quarter results. A request for comment on the potential bankruptcy filing was not immediately returned.

The company isn't the only once popular teen apparel brand hanging by a thread.

In mid-March, Aeropostale (ARO)  said it was exploring a potential sale of the company following a very disappointing holiday season that has left it in a precarious financial position.