Oppenheimer Reiterates Perform on Pacific Sunwear

Oppenheimer maintains its Perform rating on Pacific Sunwear of California, Inc. (NASDAQ: PSUN) as the company is seen making strides in the right direction.

Oppenheimer notes, “PSUN reported 3Q non-GAAP EPS of $(0.10) ex. 1x charges and assuming a 37% norm. tax rate vs. our/consensus of $(0.18)/$(0.14). PSUN also provided 4Q non-GAAP guidance of $(0.18)-(0.27) vs. consensus of $(0.25). Even more interesting are several recent initiatives including: an aggressive store closure program (200 by FYE13); a new 5-year $100M revolver (replacing $120M existing facility); a 5-year $60M secured term loan with Golden Gate Capital (a new relationship); and adoption of a shareholders protection rights plan.”

PSUN closed at $1.35 per share on Wednesday.