Abercrombie & Fitch Added to JPMorgan's Positive Catalyst Watch List, Stock Surges 9%

• Abercrombie & Fitch Co. (NYSE:ANF) reported an EPS of $1.59, beating the estimated $1.35 and marking a 17.78% earnings surprise.
• Despite a slight revenue miss, ANF's stock surged over 22% following the announcement of record first-quarter sales, with significant contributions from its Hollister brand.
• The company has adjusted its full-year profit forecast downward due to tariffs, now expecting an EPS range between $9.50 and $10.10, slightly above analyst consensus.

Abercrombie & Fitch Co. (NYSE:ANF) is a well-known American retailer specializing in casual wear. The company operates under several brands, including Abercrombie & Fitch and Hollister, targeting young consumers. Despite facing challenges in the retail sector, ANF continues to adapt and compete with other major retailers like American Eagle and Gap.

On May 28, 2025, ANF reported earnings per share (EPS) of $1.59, exceeding the estimated $1.35. This represents an earnings surprise of 17.78%, as highlighted by Zacks. However, this is a decrease from the $2.14 per share reported in the same quarter last year. The company generated revenue of approximately $1.1 billion, slightly below the estimated $1.18 billion, but still a 3.82% increase from the previous year's $1.02 billion.

Despite lowering its profit outlook due to tariffs, ANF's stock surged over 22% following the announcement of record first-quarter sales. The Hollister brand played a significant role, with sales increasing by 22% to approximately $549 million. Overall, first-quarter sales rose by 8% compared to the same period last year, although the Abercrombie brand saw a 4% decline.

ANF has adjusted its full-year profit forecast downward, anticipating a $50 million negative impact from tariffs. The company now projects its full-year EPS to range between $9.50 and $10.10, down from the previous forecast of $10.40 to $11.40. Despite this, the revised outlook remains slightly above the analyst consensus of $10.33, reflecting investor confidence.

Financially, ANF maintains a price-to-earnings (P/E) ratio of approximately 8.07, indicating the market's valuation of its earnings. The company's price-to-sales ratio is about 0.88, suggesting investors pay less than a dollar for each dollar of sales. With a debt-to-equity ratio of approximately 0.71, ANF shows a moderate level of debt relative to its equity, while a current ratio of around 1.48 indicates good liquidity.

Abercrombie & Fitch (NYSE:ANF) shares surged over 25% intra-day today after the retailer posted better-than-expected first-quarter earnings, fueled by strength in its Hollister brand.

The company reported adjusted EPS of $1.59, beating analyst expectations of $1.33. While revenue came in slightly below consensus at $1.06 billion versus $1.08 billion expected, it still marked 8% year-over-year growth.

Comparable sales rose 4% year-over-year, driven by a standout 22% increase at Hollister—its best-ever Q1 performance. This helped offset a 4% decline in the namesake Abercrombie brand.

ANF repurchased 2.6 million shares during the quarter for $200 million, reducing its share count by 5%.

Looking ahead, the company guided full-year EPS between $9.50 and $10.50, roughly in line with the $10.28 consensus. However, Q2 EPS guidance of $2.10–$2.30 came in below the $2.47 expected, slightly tempering the strong quarterly momentum.

Abercrombie & Fitch Co. (NYSE:ANF) is a well-known American retailer specializing in casual wear. The company is set to release its fiscal first-quarter earnings on May 28, 2025. Analysts expect earnings per share (EPS) to be $1.36, a significant decrease from the previous year's $2.14. Despite this, revenue is projected to rise to $1.06 billion, a 3.7% increase from last year.

The anticipated decline in EPS, down 36.5% from the previous year, is a concern for investors. This drop is attributed to cost pressures and potential tariff risks, which are affecting the company's profitability. Despite these challenges, the revenue growth of 4% to $1.06 billion indicates some positive momentum in sales.

Abercrombie & Fitch's financial metrics provide insight into its market valuation. The company's price-to-earnings (P/E) ratio is approximately 6.50, suggesting a relatively low market valuation of its earnings. The price-to-sales ratio of 0.70 indicates that investors are paying 70 cents for every dollar of sales, reflecting a cautious market sentiment.

The company's enterprise value to sales ratio is around 0.74, showing its total valuation relative to sales. With an enterprise value to operating cash flow ratio of approximately 5.16, ANF appears to be generating cash flow efficiently. This efficiency is crucial for maintaining operations amid cost pressures and tariff risks.

Abercrombie & Fitch's financial health is further supported by a debt-to-equity ratio of approximately 0.71, indicating a moderate level of debt. The current ratio of about 1.48 suggests that the company has sufficient liquidity to cover short-term liabilities, providing some reassurance to investors amid the earnings decline.

Abercrombie & Fitch (NYSE:ANF) reported fourth-quarter results that slightly exceeded analyst expectations, yet its shares tumbled more than 12% intra-day today as its first-quarter guidance came in weaker than anticipated.

The apparel retailer posted adjusted earnings per share (EPS) of $3.57, just ahead of the consensus estimate of $3.56. Revenue rose 9% year-over-year to $1.58 billion, surpassing analyst projections of $1.56 billion. Comparable sales saw a robust 14% increase during the quarter.

For the full fiscal year 2024, Abercrombie delivered strong growth, with net sales rising 16% to $4.95 billion, supported by a 17% jump in comparable sales. The company also saw a notable improvement in profitability, with its operating margin expanding to 15.0%, up 370 basis points from the previous year.

Despite these positive results, the company’s first-quarter fiscal 2025 outlook disappointed investors. Abercrombie forecasts Q1 EPS between $1.25 and $1.45, significantly below the consensus estimate of $2.01. The company expects net sales growth between 4% and 6% for the quarter.

For the full fiscal year 2025, Abercrombie anticipates net sales growth of 3% to 5% and EPS in the range of $10.40 to $11.40, with the midpoint slightly trailing analyst expectations of $11.30.

Abercrombie & Fitch (NYSE:ANF) reported fourth-quarter results that slightly exceeded analyst expectations, yet its shares tumbled more than 12% intra-day today as its first-quarter guidance came in weaker than anticipated.

The apparel retailer posted adjusted earnings per share (EPS) of $3.57, just ahead of the consensus estimate of $3.56. Revenue rose 9% year-over-year to $1.58 billion, surpassing analyst projections of $1.56 billion. Comparable sales saw a robust 14% increase during the quarter.

For the full fiscal year 2024, Abercrombie delivered strong growth, with net sales rising 16% to $4.95 billion, supported by a 17% jump in comparable sales. The company also saw a notable improvement in profitability, with its operating margin expanding to 15.0%, up 370 basis points from the previous year.

Despite these positive results, the company’s first-quarter fiscal 2025 outlook disappointed investors. Abercrombie forecasts Q1 EPS between $1.25 and $1.45, significantly below the consensus estimate of $2.01. The company expects net sales growth between 4% and 6% for the quarter.

For the full fiscal year 2025, Abercrombie anticipates net sales growth of 3% to 5% and EPS in the range of $10.40 to $11.40, with the midpoint slightly trailing analyst expectations of $11.30.

Abercrombie & Fitch Co. (NYSE:ANF) is a well-known American retailer specializing in casual wear. The company has a strong presence in the fashion industry, with a focus on brand expansion and appealing product assortments. ANF competes with other major retailers like American Eagle and Hollister. The company is set to release its quarterly earnings on March 5, 2025, with Wall Street estimating earnings per share (EPS) of $3.49 and revenue of approximately $1.57 billion.

The anticipated strong fourth-quarter results for fiscal 2024 are largely due to a successful holiday season, as highlighted by Zacks. ANF's growth is driven by strategic brand expansion and engaging marketing strategies. The Zacks Consensus Estimate projects fourth-quarter revenues at $1.56 billion, a 7.6% increase from the previous year. This growth reflects the company's ability to attract customers with its appealing product offerings.

Earnings per share are expected to rise by 17.5% to $3.49, compared to $2.97 in the same quarter last year. Despite a slight downward revision in earnings estimates over the past week, ANF has consistently surpassed earnings expectations, with an average surprise of 14.8% over the last four quarters. This track record suggests that the company may once again exceed consensus estimates, potentially boosting its stock price.

ANF's financial metrics indicate a solid market valuation. The company's price-to-earnings (P/E) ratio is approximately 9.17, while the price-to-sales ratio stands at about 1.01. These figures suggest that investors are paying a reasonable amount for the company's earnings and sales. Additionally, the enterprise value to sales ratio is around 1.07, reflecting the company's total valuation relative to its sales.

The company's financial health is further supported by an enterprise value to operating cash flow ratio of approximately 7.27, indicating efficient conversion of operating cash flow into enterprise value. ANF's debt-to-equity ratio is approximately 0.76, showing a moderate level of debt relative to equity. With a current ratio of about 1.40, the company has a good level of liquidity to cover its short-term liabilities, ensuring financial stability.

Abercrombie & Fitch Co. (NYSE:ANF) is a well-known American retailer specializing in casual wear. The company has a strong presence in the fashion industry, with a focus on brand expansion and appealing product assortments. ANF competes with other major retailers like American Eagle and Hollister. The company is set to release its quarterly earnings on March 5, 2025, with Wall Street estimating earnings per share (EPS) of $3.49 and revenue of approximately $1.57 billion.

The anticipated strong fourth-quarter results for fiscal 2024 are largely due to a successful holiday season, as highlighted by Zacks. ANF's growth is driven by strategic brand expansion and engaging marketing strategies. The Zacks Consensus Estimate projects fourth-quarter revenues at $1.56 billion, a 7.6% increase from the previous year. This growth reflects the company's ability to attract customers with its appealing product offerings.

Earnings per share are expected to rise by 17.5% to $3.49, compared to $2.97 in the same quarter last year. Despite a slight downward revision in earnings estimates over the past week, ANF has consistently surpassed earnings expectations, with an average surprise of 14.8% over the last four quarters. This track record suggests that the company may once again exceed consensus estimates, potentially boosting its stock price.

ANF's financial metrics indicate a solid market valuation. The company's price-to-earnings (P/E) ratio is approximately 9.17, while the price-to-sales ratio stands at about 1.01. These figures suggest that investors are paying a reasonable amount for the company's earnings and sales. Additionally, the enterprise value to sales ratio is around 1.07, reflecting the company's total valuation relative to its sales.

The company's financial health is further supported by an enterprise value to operating cash flow ratio of approximately 7.27, indicating efficient conversion of operating cash flow into enterprise value. ANF's debt-to-equity ratio is approximately 0.76, showing a moderate level of debt relative to equity. With a current ratio of about 1.40, the company has a good level of liquidity to cover its short-term liabilities, ensuring financial stability.