NEW YORK (TheStreet) -- Shares of Abercrombie & Fitch Co. (ANF) are falling by 13.06% to $30.76 in mid-morning trading on Friday, after the company announced it is expecting its 2014 third quarter earnings results to decline year-over-year, due to a drop in customer traffic in its stores, and a lack of demand for its logo based products.
The teen apparel retailer said it is expecting its third quarter 2014 adjusted net earnings to be in a range between 40 cents and 42 cents per diluted share. Analysts' polled by Thomson Reuters expected 67 cents per share for the quarter.
For the period ending November 1, the company will post a 12% decrease in net sales to $911.4 million, while analysts forecast for revenue of $982.2 million.
"We are clearly disappointed with our results for the third quarter. Continued weak store traffic was the primary contributor to the weak sales trend, particularly in Europe, where the environment there showed signs of further slowing. In addition, the decline in sales of heavy logo product weighed on the sales trend as we continued to reduce that element of our assortment in response to changing consumer preferences," said Abercrombie & Fitch CEO Mike Jefferies.
Separately, TheStreet Ratings team rates ABERCROMBIE & FITCH as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation: