Skechers (NYSE:SKX) fell 5.2% in premarket trading after Spruce Point released a new short report with the potential for the shares to fall 30%-50%.
Spruce Point in its "strong sell" report alleged that its channel checks in China indicate that revenue trends are "materially worse" than Wall Street consensus. The short report also claims the shoe company will likely suffer another "inventory episode," which in the past has "crushed" the stock.