Abercrombie & Fitch (ANF) closed at $129.85 in the latest trading session, marking a +2.1% move from the prior day. The stock outperformed the S&P 500, which registered a daily gain of 0.01%. On the other hand, the Dow registered a gain of 0.55%, and the technology-centric Nasdaq decreased by 0.44%.
The teen clothing retailer's stock has climbed by 18.79% in the past month, exceeding the Retail-Wholesale sector's gain of 1.61% and the S&P 500's gain of 0.86%.
Market participants will be closely following the financial results of Abercrombie & Fitch in its upcoming release. On that day, Abercrombie & Fitch is projected to report earnings of $3.55 per share, which would represent a year-over-year decline of 0.56%. Our most recent consensus estimate is calling for quarterly revenue of $1.67 billion, up 5.54% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $9.78 per share and a revenue of $5.27 billion, representing changes of -8.51% and +6.48%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Abercrombie & Fitch. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Abercrombie & Fitch is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Abercrombie & Fitch has a Forward P/E ratio of 13 right now. This denotes a discount relative to the industry average Forward P/E of 20.54.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 44, finds itself in the top 18% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming 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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