As previously reported, Morgan Stanley downgraded Coach to Underweight from Equal Weight. Analyst Kimberly Greenberger downgraded Coach saying the company delivered on FY16 financial targets but the 10-K suggests the turnaround is unsustainable and was achieved in an "unhealthy manner." Promotional activity increased throughout the year in the outlet channel and Q4 markdowns increased 300+bps, the analyst wrote. Greenberger is skeptical Coach can deliver consistent +LSD comps and said good news appears to be priced in shares and maintains his $32 price target.