NEW YORK (TheStreet) -- Shares of Ann Inc. (ANN) are lower by -5.10% to $36.10 on heavy volume in early afternoon trading on Thursday, after the company lowered its sales guidance for the 2014 second quarter.
The women's clothing and accessories company, which owns the Ann Taylor and LOFT brands, said it is expecting a 2.3% decline in comparable net sales to $648 million versus its previous forecast of $670 million.
"Despite positive performance through mid-June, the remainder of the second quarter proved more challenging, with soft traffic across the industry and a highly promotional environment," said Ann CEO Kay Krill.
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Separately, TheStreet Ratings team rates ANN INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate ANN INC (ANN) a BUY. This is driven by a few notable strengths, 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 revenue growth, reasonable valuation levels, increase in stock price during the past year and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."
You can view the full analysis from the report here: ANN Ratings Report