UPDATE: BMO Capital Markets Upgrades Abercrombie & Fitch to Outperform on Improving Domestic OUtlook

BMO Capital Markets upgraded Abercrombie & Fitch

from Market Perform to Outperform and raised the price target from $44.00 to $61.00. BMO Capital Markets noted, "We are raising our rating because of the following: 1) our channel checks on Spring point to improvements in merchandising, especially at the domestic A&F brand; 2) we are getting confirmation on better product from our focus group research; 3) inventory is normalizing, and our Sale Rack Index suggests a reduction in promos; 4) a cost control campaign could be coming, coinciding with ANF's decision to curtail the rate of international expansion; 5) international is showing signs of stabilizing." Abercrombie & Fitch closed at $49.56 on Monday.