UPDATE: JP Morgan Raises PT to $48 on Abercrombie & Fitch; Waiting on Comps Clarity

JP Morgan reiterated its Neutral rating on Abercrombie & Fitch ANF while raising its price target from $35 to $48. JP Morgan commented, "After setting low enough expectations, ANF stepped over their low sales bar with a "less-worse” -3% comp decline and better-than-expected gross margins. With concerns over brand equity and the company's inability to stabilize comps heading into the print, shares saw a significant short squeeze and although we believe estimates will likely continue to increase and current levels may continue to prove attractive, we are choosing to remain sidelined as we await topline consistency around international trends (particularly in Europe), which represent 30% of sales and 30%-40% of operating profits and clarity around the turn." Abercrombie & Fitch closed at $44.40 on Friday.