Market Overview

UPDATE: Nomura Upgrades Abercrombie & Fitch to Buy Post Strong Quarter, Guidance

Related ANF
5 Stocks To Watch During Back-To-School Season
'Labor Day Sale On Abercrombie' After Lower Q2 Sales
Saying You're Sorry Doesn't Always Cut It, Unless You Mean It (Fox Business)

Nomura raised its rating on Abercrombie & Fitch (NYSE: ANF) from Neutral to Buy and raised its rice target from $34 to $51.

Nomura said, "10 Reasons to Own ANF: (1) All int'l markets improved with the exception of the UK, (2) US comps +2% vs down 5% in 2Q, and US comparisons get 10 ppt easier in 4Q12, (3) Inventory down 10% (ex in-transit) and management plans to manage inventory below sales growth for the foreseeable future, (4) AUR down only slightly with int'l Hollisters up, (5) AUC benefit in 4Q greater than 3Q (and AUC still down through 1H13), (6) Beginning to flow more newness and increase breadth of assortment, (7) A new focus on accessories, a very underpenetrated category at ANF, (8) A continued focus on expenses including a detailed review that it will share on 4Q call, (9) Strong initial customer traction from new loyalty program, (10) Strong FCF (F13E of ~$400MM), a yield of 14% (even w/stock up today)."

Abercrombie & Fitch closed at $41.92 on Wednesday.

Latest Ratings for ANF

DateFirmActionFromTo
Sep 2014CitigroupMaintainsNeutral
Aug 2014Stifel NicolausUpgradesHoldBuy
Aug 2014WunderlichInitiates Coverage onBuy

View More Analyst Ratings for ANF
View the Latest Analyst Ratings

Posted-In: NomuraAnalyst Color Upgrades Intraday Update Analyst Ratings

 

Related Articles (ANF)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters