Abercrombie Fitch (ANF) AI Stock Analysis

• Market Cap: $4.94B
• Dividend Yield: N/A
• Average Volume (3M): 1.96M
• Price to Earnings (P/E): 10.0
• Beta (1Y): 1.60
• Revenue Growth: 7.57%
• EPS Growth: 1.75%
• Country: US
• Employees: 6,600
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 2.36
• Shares Outstanding: 45,857,555
• 10 Day Avg. Volume: 2,018,917
• 30 Day Avg. Volume: 1,955,107
• PEG Ratio: 0.15
• Price to Book (P/B): 4.54
• Price to Sales (P/S): 1.23
• P/FCF Ratio: 11.51
• Enterprise Value/Market Cap: 0.80
• Enterprise Value/Revenue: 0.76
• Enterprise Value/Gross Profit: 1.28
• Enterprise Value/Ebitda: 4.36
• 1Y Price Target: $116.56
• Price Target Upside: 11.94% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): 9.8
• Revenue Forecast (FY): $5.27B

• Rating: 74 Outperform
• Price Target: $115.00 ▲(10.44% Upside)

The score is driven primarily by strong financial performance (high margins, improved leverage, solid cash generation) and supportive earnings-call guidance. Valuation also helps due to a low P/E. Technicals are the main offset, reflecting recent weakness versus the 20-day average and a low RSI despite a broader uptrend.

Positive Factors

Margin Sustainability

A sustained gross margin near 62% and TTM net margin above 10% indicate durable pricing power and efficient product economics. High margins underpin free cash flow generation, fund reinvestment and buybacks, and provide a buffer against input cost inflation over multiple quarters.

Brand & Channel Strength

Hollister’s mid-teens growth demonstrates the portfolio’s ability to scale a high-growth brand. Strong cross-channel traffic and balanced category/gender demand diversify revenue streams, lower single-brand concentration risk, and support more stable top-line expansion over the medium term.

Balance Sheet & ROE

Improved leverage combined with very high ROE signals efficient capital allocation and stronger financial flexibility. Lower relative debt and high returns support continued share repurchases, strategic capex, and resilience to shocks, enabling durable investor returns and operational investment.

Negative Factors

APAC Weakness

Persistent APAC underperformance limits geographic diversification and growth optionality. Structural issues—market fit, distribution or execution—can take multiple quarters to address and may constrain companywide revenue growth and margin expansion until regional recovery occurs.

Tariff-Driven Margin Pressure

Material tariff-related cost increases (~210 bps) create a durable headwind to gross and operating margins unless sourcing or pricing strategies change. Resolving tariff exposure typically requires multi-quarter supply-chain shifts or sustained price increases that can pressure demand and profits.

Abercrombie Brand Underperformance

The core Abercrombie label’s sales decline signals structural product/positioning or AUR challenges. If the flagship brand fails to regain consistent demand, the company may need sustained marketing, assortment and pricing investment, weighing on margins and returns for several quarters.

Abercrombie Fitch Business Overview & Revenue Model

Company Description

Abercrombie & Fitch Co., through its subsidiaries, operates as a specialty retailer. The company operates in two segments, Hollister and Abercrombie. It offers an assortment of apparel, personal care products, and accessories for men, women, and children under the Hollister, Abercrombie & Fitch, abercrombie kids, Moose, Seagull, Gilly Hicks, and Social Tourist brands. As of January 29, 2022, it operated approximately 729 retail stores in Europe, Asia, Canada, the Middle East, United States, and internationally. The company sells products through its stores; various third-party wholesale, franchise, and licensing arrangements; and e-commerce platforms. Abercrombie & Fitch Co. was founded in 1892 and is headquartered in New Albany, Ohio.

How the Company Makes Money

Abercrombie & Fitch generates revenue primarily through the sale of its clothing and accessories across its various retail brands. The company operates a multi-channel business model that includes physical retail stores, e-commerce platforms, and international sales. Key revenue streams include direct sales from brick-and-mortar stores and online shopping, where the latter has seen significant growth in recent years. The company also benefits from seasonal promotions and collaborations that attract customers. Additionally, Abercrombie & Fitch has established partnerships with various distributors and online platforms that help broaden its market reach. The focus on brand loyalty and customer engagement through marketing initiatives and social media also plays a pivotal role in driving sales and revenue growth.

Abercrombie Fitch Financial Statement Overview

Summary

Strong profitability (gross margin ~62% and net margin >10% TTM) and healthy operating efficiency support the score. Leverage has improved (debt-to-equity 0.85) and ROE is robust (>42%), though cash flow quality is a mild watch-out as operating cash flow relative to net income has declined.

Income Statement

Abercrombie Fitch shows strong profitability with a consistent gross profit margin around 62% and a net profit margin improving to over 10% in TTM. Revenue growth is positive, though slightly slowing, indicating stable demand. EBIT and EBITDA margins are healthy, reflecting efficient operations.

Balance Sheet

The company has improved its debt-to-equity ratio to 0.85 in TTM, indicating better leverage management. Return on equity is robust at over 42%, showcasing effective use of shareholder funds. The equity ratio is stable, suggesting a balanced asset structure.

Cash Flow

Operating cash flow remains strong, though slightly decreased in TTM. Free cash flow growth is positive, supporting future investments. The free cash flow to net income ratio is healthy, indicating good cash conversion, but the operating cash flow to net income ratio has decreased, suggesting potential cash flow management challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.18B	4.95B	4.28B	3.70B	3.71B	3.13B
Gross Profit	3.07B	3.02B	2.55B	1.96B	2.17B	1.71B
EBITDA	899.07M	934.81M	659.71M	230.85M	487.10M	151.00M
Net Income	522.02M	566.22M	328.12M	2.82M	263.01M	-114.02M
Balance Sheet
Total Assets	3.48B	3.30B	2.97B	2.71B	2.94B	3.31B
Cash, Cash Equivalents and Short-Term Investments	631.04M	888.95M	900.88M	517.60M	823.14M	1.10B
Total Debt	1.13B	951.61M	1.05B	1.22B	1.22B	1.55B
Total Liabilities	2.15B	1.95B	1.92B	2.01B	2.10B	2.37B
Stockholders Equity	1.32B	1.34B	1.04B	694.84M	826.09M	936.63M
Cash Flow
Free Cash Flow	384.55M	527.47M	495.63M	-166.91M	180.80M	303.01M
Operating Cash Flow	620.62M	710.38M	653.42M	-2.34M	277.78M	404.92M
Investing Cash Flow	-205.88M	-297.70M	-157.18M	-140.68M	-96.98M	-51.91M
Financing Cash Flow	-496.86M	-534.88M	-111.20M	-155.33M	-446.90M	69.72M

Abercrombie Fitch Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 104.13
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ANF, the sentiment is Positive. The current price of 104.13 is below the 20-day moving average (MA) of 120.11, above the 50-day MA of 100.66, and above the 200-day MA of 87.34, indicating a neutral trend. The MACD of 0.50 indicates Positive momentum. The RSI at 41.93 is Neutral, neither overbought nor oversold. The STOCH value of 15.82 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ANF.

Abercrombie Fitch Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
URBN	82 Outperform	$6.33B	13.14	19.34%	―	11.09%	51.51%
ANF	74 Outperform	$4.94B	9.98	40.72%	―	7.57%	1.75%
AEO	74 Outperform	$4.38B	22.28	12.36%	2.09%	-1.15%	-0.98%
BKE	72 Outperform	$2.71B	13.01	41.26%	6.82%	4.67%	3.46%
GES	72 Outperform	$879.28M	16.10	16.57%	6.28%	6.44%	-9.23%
VSCO	71 Outperform	$4.86B	29.36	31.50%	―	2.97%	9.85%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Abercrombie Fitch Corporate Events

Abercrombie Fitch Posts Record Holiday Sales, Reaffirms Outlook

On January 12, 2026, Abercrombie & Fitch reported record quarter-to-date holiday net sales through fiscal December 2025, with balanced growth across regions, brands and channels, and a particularly strong performance from Hollister Brands, which is on track for mid‑teens net sales growth for fiscal 2025. The company reaffirmed its expectation of record full-year fiscal 2025 net sales with at least 6% growth and operating margins around 13%, while modestly tightening its outlook ranges for fourth-quarter and full-year net income per diluted share, maintaining robust share repurchase plans and increased capital expenditures, and signaling continued investment in marketing, digital and stores to strengthen its long-term competitive position and returns to investors despite headwinds from tariffs.

The most recent analyst rating on (ANF) stock is a Buy with a $160.00 price target. To see the full list of analyst forecasts on Abercrombie Fitch stock, see the ANF Stock Forecast page.

Abercrombie & Fitch Promotes Robert J. Ball to CFO

On December 11, 2025, Abercrombie & Fitch Co. announced the promotion of Robert J. Ball to Executive Vice President and Chief Financial Officer, with changes to his compensation package reflecting his new role. This move is part of the company’s strategic efforts to strengthen its leadership team, potentially impacting its operational efficiency and market positioning.

The most recent analyst rating on (ANF) stock is a Buy with a $120.00 price target. To see the full list of analyst forecasts on Abercrombie Fitch stock, see the ANF Stock Forecast page.