NEW YORK (TheStreet) -- Skechers USA (SKX) was falling 7.25% to $27.14 on Tuesday after BB&T Capital Markets downgraded the stock to "hold" from "buy." The firm also removed its target price, which had previously been set at $33.
Analysts at Zacks also recently reaffirmed its Neutral rating and set a target price of $36.
"[W]e still hold a somewhat conservative stance on the stock given the lower-than-expected results and maintain our unbiased view," the report reads. "Both the top and bottom lines of the company fell short of the Zacks Consensus Estimate. The quarterly earnings missed the Zacks Consensus Estimate by 13.1%, while revenue of $515.8 million fell short of the Zacks Consensus Estimate of $519 million."
Skechers had a volume of more than 1 million shortly after 1 p.m. EST on Tuesday, compared to its average of 414,211.
TheStreet Ratings team rates SKECHERS U S A INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate SKECHERS U S A INC (SKX) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."