Shares of Anaheim-based mall retailer Pacific Sunwear of California Inc. closed up more than 10% on an analyst’s report suggesting a rebound in the company’s dominant home state.
Pacific Sunwear and rival Zumiez Inc. of Everett, Wash., could benefit from a “material pickup” in shopping at California malls, Amy Noblin of New York investment bank Pali Capital Inc. said.
Shares of Zumiez were up 9%.
Pacific Sunwear has a market value of about $270 million.
The company runs mall stores that sell clothes inspired by surfing, skateboarding and other California fashions.
It has struggled for the past year or so amid the retail downturn and with shifting tastes among its young shoppers.
Last month, Pacific Sunwear warned of a larger than expected loss and sales decline for its recently ended quarter. It was the company’s second lowering of guidance for the quarter.
Pacific Sunwear is set to report results on Aug. 20.
In June, the company tapped a former Vans Inc. executive to lead the retailer as it works through a turnaround.
Gary H. Schoenfeld took over as Pacific Sunwear’s chief executive at the end of June.
He replaced Sally Frame Kasaks, who had led Pacific Sunwear since 2006. Kasaks remains as a director.
Schoenfeld is best known locally for turning around Cypress-based shoe and clothing maker Vans, leading to its 2004 sale to North Carolina’s VF Corp.
