We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
ANF's Hollister Momentum Continues: Can It Be Sustained?
Read MoreHide Full Article
Key Takeaways
ANF's Hollister brand posted 15% net sales growth and its 11th straight quarter of gains in FY25.
ANF credits a "Read and React" inventory model and strong fleece, graphics and outerwear demand.
Management expects Hollister's growth to ease to mid-single digits as investments continue.
Abercrombie & Fitch Co. (ANF - Free Report) continues to see standout momentum from its Hollister brand, which has emerged as a key growth engine within the portfolio. The teen-focused label has consistently delivered strong product acceptance and customer engagement, supported by targeted marketing, refreshed assortments and disciplined inventory management. With Hollister gaining traction across genders and categories, investors are closely watching whether the brand’s sustained performance can remain durable amid evolving consumer demand and macro headwinds.
The numbers underline Hollister’s growing strength. In fiscal 2025, Hollister delivered 15% net sales growth, supported by 13% comparable sales growth, marking one of its strongest performances in recent years. The brand also recorded its 11th consecutive quarter of net sales growth, reflecting continued traction with teen customers. Companywide, ANF generated record annual net sales of $5.27 billion, up 6% year over year, with Hollister playing a major role in driving the top-line expansion through increased unit sales, higher average unit retail (AUR) and solid traffic trends.
Operationally, Hollister’s success has been fueled by a disciplined “Read and React” inventory model, allowing the company to chase demand and replenish winning products quickly. Strong performance in key categories such as fleece, graphics and outerwear has helped maintain balanced growth across genders. Additionally, strategic marketing campaigns and collaborations — including seasonal collections and limited-time partnerships — have enhanced brand visibility and engagement with the teen demographic, contributing to improved customer retention and expanding reach.
Looking ahead, sustaining double-digit growth at Hollister may become more challenging as comparisons toughen and the brand scales further. Management expects growth to normalize toward mid-single-digit levels over time, but ongoing investments in stores, digital capabilities and product innovation are expected to support continued momentum. If Hollister maintains strong product relevance and customer connection while navigating tariff pressures and broader retail uncertainties, it could remain a central pillar of ANF’s long-term growth strategy.
ANF’s Zacks Rank & Share Price Performance
Shares of this Zacks Rank #3 (Hold) company have gained 17.4% in the past year compared with the industry and the broader Retail-Wholesale sector, which rose 15.3% and 3.7%, respectively.
ANF Stock's Past Three-Month Performance
Image Source: Zacks Investment Research
Is ANF a Value Play Stock?
ANF currently trades at a forward 12-month P/E ratio of 8.22X, which is lower than the industry average of 16.10X and notably below the sector average of 24.93X. This valuation positions the stock at a modest discount relative to both its direct peers and the broader consumer staples sector.
ANF stock currently carries a Zacks Rank #2 (Buy).
ANF P/E Ratio (Forward 12 Months)
Image Source: Zacks Investment Research
Other Stocks to Consider
We have highlighted three other top-ranked stocks in the retail space, namely, Deckers Outdoor Corporation (DECK - Free Report) , Tapestry, Inc. (TPR - Free Report) and FIGS Inc. (FIGS - Free Report) .
Deckers is a leading designer, producer and brand manager of innovative, niche footwear and accessories. It flaunts a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Deckers’ current fiscal-year earnings and sales indicates growth of 8.5% and 8.9%, respectively, from the year-ago actuals. DECK delivered a trailing four-quarter average earnings surprise of 36.9%.
Tapestry, which was formerly known as Coach, Inc., is the designer and marketer of fine accessories and gifts for women and men in the United States and internationally. It currently sports a Zacks Rank of 1.
The Zacks Consensus Estimate for Tapestry’s current fiscal-year earnings and sales implies growth of 26.5% and 11.2%, respectively, from the year-ago actuals. TPR delivered a trailing four-quarter average earnings surprise of 12.8%.
FIGS is a direct-to-consumer healthcare apparel and lifestyle brand, and it currently has a Zacks Rank #2.
The Zacks Consensus Estimate for FIGS’ current financial-year sales indicates growth of 11.7% from the year-ago reported number. The company delivered a trailing four-quarter earnings surprise of 187.5%, on average.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
ANF's Hollister Momentum Continues: Can It Be Sustained?
Key Takeaways
Abercrombie & Fitch Co. (ANF - Free Report) continues to see standout momentum from its Hollister brand, which has emerged as a key growth engine within the portfolio. The teen-focused label has consistently delivered strong product acceptance and customer engagement, supported by targeted marketing, refreshed assortments and disciplined inventory management. With Hollister gaining traction across genders and categories, investors are closely watching whether the brand’s sustained performance can remain durable amid evolving consumer demand and macro headwinds.
The numbers underline Hollister’s growing strength. In fiscal 2025, Hollister delivered 15% net sales growth, supported by 13% comparable sales growth, marking one of its strongest performances in recent years. The brand also recorded its 11th consecutive quarter of net sales growth, reflecting continued traction with teen customers. Companywide, ANF generated record annual net sales of $5.27 billion, up 6% year over year, with Hollister playing a major role in driving the top-line expansion through increased unit sales, higher average unit retail (AUR) and solid traffic trends.
Operationally, Hollister’s success has been fueled by a disciplined “Read and React” inventory model, allowing the company to chase demand and replenish winning products quickly. Strong performance in key categories such as fleece, graphics and outerwear has helped maintain balanced growth across genders. Additionally, strategic marketing campaigns and collaborations — including seasonal collections and limited-time partnerships — have enhanced brand visibility and engagement with the teen demographic, contributing to improved customer retention and expanding reach.
Looking ahead, sustaining double-digit growth at Hollister may become more challenging as comparisons toughen and the brand scales further. Management expects growth to normalize toward mid-single-digit levels over time, but ongoing investments in stores, digital capabilities and product innovation are expected to support continued momentum. If Hollister maintains strong product relevance and customer connection while navigating tariff pressures and broader retail uncertainties, it could remain a central pillar of ANF’s long-term growth strategy.
ANF’s Zacks Rank & Share Price Performance
Shares of this Zacks Rank #3 (Hold) company have gained 17.4% in the past year compared with the industry and the broader Retail-Wholesale sector, which rose 15.3% and 3.7%, respectively.
ANF Stock's Past Three-Month Performance
Image Source: Zacks Investment Research
Is ANF a Value Play Stock?
ANF currently trades at a forward 12-month P/E ratio of 8.22X, which is lower than the industry average of 16.10X and notably below the sector average of 24.93X. This valuation positions the stock at a modest discount relative to both its direct peers and the broader consumer staples sector.
ANF stock currently carries a Zacks Rank #2 (Buy).
ANF P/E Ratio (Forward 12 Months)
Image Source: Zacks Investment Research
Other Stocks to Consider
We have highlighted three other top-ranked stocks in the retail space, namely, Deckers Outdoor Corporation (DECK - Free Report) , Tapestry, Inc. (TPR - Free Report) and FIGS Inc. (FIGS - Free Report) .
Deckers is a leading designer, producer and brand manager of innovative, niche footwear and accessories. It flaunts a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Deckers’ current fiscal-year earnings and sales indicates growth of 8.5% and 8.9%, respectively, from the year-ago actuals. DECK delivered a trailing four-quarter average earnings surprise of 36.9%.
Tapestry, which was formerly known as Coach, Inc., is the designer and marketer of fine accessories and gifts for women and men in the United States and internationally. It currently sports a Zacks Rank of 1.
The Zacks Consensus Estimate for Tapestry’s current fiscal-year earnings and sales implies growth of 26.5% and 11.2%, respectively, from the year-ago actuals. TPR delivered a trailing four-quarter average earnings surprise of 12.8%.
FIGS is a direct-to-consumer healthcare apparel and lifestyle brand, and it currently has a Zacks Rank #2.
The Zacks Consensus Estimate for FIGS’ current financial-year sales indicates growth of 11.7% from the year-ago reported number. The company delivered a trailing four-quarter earnings surprise of 187.5%, on average.