In the latest trading session, Abercrombie & Fitch (ANF - Free Report) closed at $22.11, marking a +1.1% move from the previous day. This move outpaced the S&P 500's daily gain of 0.07%. At the same time, the Dow lost 0.21%, and the tech-heavy Nasdaq gained 0.13%.
Coming into today, shares of the teen clothing retailer had gained 13.55% in the past month. In that same time, the Retail-Wholesale sector gained 2.42%, while the S&P 500 gained 5.36%.
Wall Street will be looking for positivity from ANF as it approaches its next earnings report date. On that day, ANF is projected to report earnings of $1.12 per share, which would represent a year-over-year decline of 18.84%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.14 billion, down 4.81% from the year-ago period.
Investors should also note any recent changes to analyst estimates for ANF. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.94% higher. ANF is holding a Zacks Rank of #2 (Buy) right now.
Investors should also note ANF's current valuation metrics, including its Forward P/E ratio of 21.99. For comparison, its industry has an average Forward P/E of 12.71, which means ANF is trading at a premium to the group.
We can also see that ANF currently has a PEG ratio of 1.44. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Apparel and Shoes was holding an average PEG ratio of 1.35 at yesterday's closing price.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 46, which puts it in the top 19% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.