NEW YORK (TheStreet) -- Abercrombie & Fitch (ANF) shares are down 3.2% to $27.89 on Thursday after the teen apparel retailer lowered its full year earnings guidance when it released it third quarter earnings results after the closing bell yesterday.
The company lowered its full year earnings expectations to between $1.50 and $1.65 per diluted share from its previous view of between $2.15 and $2.35 per share.
The company reported third quarter earnings of 42 cents per diluted share that beat analysts' 41 cent per share expectations for the period. Abercrombie generated revenue of $911.5 million, below the $1.03 billion the company reported last year, and short of the $916.7 million analysts were expecting the company to report this year.
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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:
"We rate ABERCROMBIE & FITCH (ANF) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its good cash flow from operations, growth in earnings per share and increase in net income. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and disappointing return on equity."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- You can view the full analysis from the report here: ANF Ratings Report
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