Simply Wall St.88d agobearish
Why Abercrombie & Fitch (ANF) Is Down 8.0% After Barclays Downgrade On Competitive, Margin ConcernsRecently, Abercrombie & Fitch was downgraded to an “Underweight” rating by Barclays, which cited intensifying competition, heavier promotions at Hollister, and macroeconomic pressures that could weigh on margins and earnings. This shift in analyst sentiment contrasts with Abercrombie & Fitch’s very large recent earnings per share growth and strong gross margins, raising questions about how sustainable its current profitability and pricing power may be. We’ll now examine how Barclays’...