Morgan Stanley Still Has Liquidity Concerns For Aeropostale

In a report published Friday, Morgan Stanley analyst Kimberly C. Greenberger reiterated an Underweight rating and $2.00 price target on Aeropostale Inc. (NYSE: ARO).

In the report, Morgan Stanley noted, "We think it is unlikely ARO can earn a profit again. Mgmt is hoping for a 2H15 top-line turnaround, but we remain skeptical ARO can turn the tide after 10 consecutive quarters of negative SSS. We see 46% stock price downside to our $2 price target."

Aeropostale losed on Thursday at $3.70.