Abercrombie & Fitch (ANF) closed the most recent trading day at $69.07, moving -2.87% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 0.63%. Elsewhere, the Dow saw a downswing of 0.65%, while the tech-heavy Nasdaq depreciated by 0.47%.
Shares of the teen clothing retailer have depreciated by 16.72% over the course of the past month, underperforming the Retail-Wholesale sector's loss of 4.1%, and the S&P 500's gain of 0.92%.
The upcoming earnings release of Abercrombie & Fitch will be of great interest to investors. The company is predicted to post an EPS of $2.18, indicating a 12.8% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $1.28 billion, showing a 5.9% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $9.79 per share and revenue of $5.27 billion, indicating changes of -8.42% and +6.41%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Abercrombie & Fitch. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.79% lower. At present, Abercrombie & Fitch boasts a Zacks Rank of #4 (Sell).
Looking at its valuation, Abercrombie & Fitch is holding a Forward P/E ratio of 7.27. This represents a discount compared to its industry average Forward P/E of 17.73.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 79, positioning it in the top 32% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Abercrombie & Fitch Company (ANF): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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