As previously reported, Wedbush analyst Jen Redding downgraded Zumiez to Underperform from Neutral and lowered her price target on the shares to $22 from $23, while noting that she still sees downside north of 15% to her news price target. The analyst notes that campaign data shows meaningful upside to Q1 revenue and comp, but she sees the revenue beat as largely baked-in owing to insights from popular industry data. Further, Redding sees merchandise margin as more of a wild card, and now has doubts as to the quality of revenue growth, based on insights from her proprietary promo tracker. The analyst's data shows a soft start to February and softness in April, with merchandise margin pressure highlighted by numerous incremental promotions year over year in both months.