AEROPOSTALE INC. $13.75 - New York symbol ARO

AEROPOSTALE INC.$13.75 (New York symbol ARO; TSINetwork Rating: Extra Risk) (646-485-5410; www.aeropostale.com; Shares outstanding: 78.5 million; Market cap: $1.1 billion; No dividends paid) saw its sales fall 9.0% in the three months ended May 4, 2013, to $452.3 million from $497.2 million a year earlier. Samestore sales declined 14%.

The teen-clothing retailer lost $0.16 a share, compared to a year-ago profit of $0.13 a share. Aeropostale had to spend heavily on promotions and marketing to clear out inventory from the preceding quarter.

The company will likely be able to repeat its past success at attracting customers, but its sales may remain weak in the near term.

Aeropostale is still a hold.

A professional investment analyst for more than 30 years, Pat has developed a stock-selection technique that has proven reliable in both bull and bear markets. His proprietary ValuVesting System™ focuses on stocks that provide exceptional quality at relatively low prices. Many savvy investors and industry leaders consider it the most powerful stock-picking method ever created.