Abercrombie & Fitch Co. (ANF): Today's Featured Retail Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Abercrombie & Fitch ( ANF) pushed the Retail industry higher today making it today's featured retail winner. The industry as a whole closed the day up 0.5%. By the end of trading, Abercrombie & Fitch rose 95 cents (1.9%) to $50.90 on light volume. Throughout the day, 2.1 million shares of Abercrombie & Fitch exchanged hands as compared to its average daily volume of 3.1 million shares. The stock ranged in a price between $50.14-$51.63 after having opened the day at $50.25 as compared to the previous trading day's close of $49.95. Other companies within the Retail industry that increased today were: Michael Kors Holdings ( KORS), up 8.8%, New York & Company ( NWY), up 7.5%, Alon Holdings Blue Square - Israel ( BSI), up 7%, and Harris Teeter Supermarkets ( HTSI), up 6.6%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Abercrombie & Fitch Co., through its subsidiaries, operates as a specialty retailer of casual apparel for men, women, and kids. Abercrombie & Fitch has a market cap of $4.03 billion and is part of the services sector. The company has a P/E ratio of 37.5, above the S&P 500 P/E ratio of 17.7. Shares are up 5.5% year to date as of the close of trading on Monday. Currently there are 14 analysts that rate Abercrombie & Fitch a buy, no analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates Abercrombie & Fitch as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, revenue growth, attractive valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

On the negative front, QKL Stores ( QKLS), down 6%, dELiA*s ( DLIA), down 3.9%, U.S. Auto Parts Network ( PRTS), down 2.7%, and ALCO Stores ( ALCS), down 2%, were all laggards within the retail industry with GNC Acquisition Holdings ( GNC) being today's retail industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the retail industry could consider SPDR S&P Retail ETF ( XRT) while those bearish on the retail industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.