NEW YORK (TheStreet) -- Shares of Abercrombie & Fitch (ANF) are gaining 2.57% to $22.77 on heavy trading volume due to growing confidence that sales will rebound this year, said Financial Group analyst Thomas Filandro, Bloomberg reports.
Filandro adjusted his model for the company, expecting the specialty retailer to post a loss of 3 cents a share in the second quarter and then a gain of 35 cents per share and $1.10 per share in the next two periods.
"Management is 'keenly' focused on boosting same-store growth," he stated in a report, and the company's new changes should make the consumers' shopping experience faster, easier, and enjoyable.
Additionally, over the past week, two top executives reported new stakes in the company, which is a sign of optimism, Bloomberg noted.
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:
"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 largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, deteriorating net income and disappointing return on equity."