MOSSIMO STOCK DIPS AFTER NET RELEASED
NEW YORK — Shares of Mossimo Inc. slumped 5 3/5 to 16 1/8 Friday, reacting to the company’s third-quarter earnings released Thursday after the close of the market. The company earned 15 cents a share, but Wall Street had been expecting 16 cents.
Smith Barney Inc. downgraded its rating for Mossimo to “neutral” from “outperform” following the disappointing earnings.
Mossimo, which went public in February with three million shares priced at $18 each, blamed its lower earnings on “unusually high product development costs.” The stock has traded as high as 50 1/8.