Skip to main content

NEW YORK (TheStreet) -- Abercrombie & Fitch (ANF) - Get Free Report is set to report its 2016 second quarter results before Tuesday's opening bell.

Analysts are expecting a loss compared to a profit last year. Revenue is projected to decline year-over-year.

Wall Street is estimating that the New Albany, OH-based teen retailer will report a loss of 2 cents per share on revenue of $782.1 million.

During the same quarter a year ago, Abercrombie earned 12 cents per diluted share on revenue of $817.8 million.

Credit Suisse conducted a proprietary pricing basket analysis of eleven specialty retailers to examine "back to school" promotional intensity and pricing.

"Gap (GPS) and Abercrombie had the highest levels of discounting in our pricing check, as it appears both companies continue to rely on heavy promotional activity to drive consumer demand," the firm wrote in an analyst note earlier today.

Abercrombie's "out-the-door" price was 25% lower than the full price, while Gap's was 31% lower.

"Continued reliance on the 'High-Low' pricing model for both companies suggests there remains further risk for market share loss," Credit Suisse noted.

Shares of Abercrombie were edging up in midday trading on Friday.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations.

But the team also finds that the company's return on equity has been disappointing.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: ANF

Image placeholder title