Piper Jaffray Reiterates Overweight, $54 Target on Abercrombie & Fitch

Piper Jaffray remains Overweight with a $54 target price on Abercrombie & Fitch

on an inline quarter and reiterated guidance. Piper Jaffray says, "Having just preannounced two weeks ago, ANF reported in-line Q4 earnings this morning with adjusted EPS of $1.12 which compared to our $1.10 and the Street's $1.12. As previously preannounced, gross margins were down 750 bps y/y. Inventories in Q4 up 48% y/y higher than the 33% y/y increase in FQ3. Management indicated that for FY13, it will open 5 flagships (from 4 prior) and 40 int'l Hollister doors. Longer-term, we are encouraged by the continued global evolution of the brand and believe the productivity mix shift toward int'l doors is positive for profitability." ANF closed at $44.59 a share on Tuesday.