Abercrombie & FitchANFDON'T BUYNov 10, 2025Stock price when the opinion was issued
As of May 29, 2026. Market Open.
They have two businesses: A&F and Hollister appealing to a younger customer. The latter had a great quarter with same-store sales up 23% though A&F was -10%. Strong and weak. The CEO has rescued ANF from the brink, improving its toxic brand and marketing. They bought back $200 million of shares. ANF could explode if A&F turns around and Hollister remains hot. They avoided tariffs by sourcing from 16 countries.
It focuses on teen fashion. The short term concern is the health of the consumer and the lower economic part of the population. This company has a compelling low valuation but there could be a reason for it. The fashion industry is notorious for missteps.