The Company is a national retailer operating stores selling fashionable and contemporary apparel and accessory items designed for female customers aged 15 to 45.
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During an economic downturn, clothing companies like Wet Seal are well positioned as parents and lower income twenty-somethings turn to cheaper clothes to satisfy their fashion cravings. In addition, Wet Seal's former CEO returning (who has a massive compensation package set to kick in if the stock gets to 5$), inventory tightening at ardenB division and the launch of a new Ashley Simpson clothing line should boost revenue this quarter serving as an additional catalyst for stock price growth. Look for Wet Seal to top 5$ by back to school time in 2008.