Barclays starts Abercrombie & Fitch with 'equal weight' on strong brand momentum

Barclays starts coverage on apparel retailer Abercrombie & Fitch ANF.N with "equal weight" rating and $71 PT

PT represents a 1.3% downside to the stock's last close

Brokerage says ANF has seen strong sales growth across all regions and brands, with a 17% increase in sales in the last year

ANF has a strong online and offline sales model, with 46% of revenue coming from digital sales and store margins of around 30% - Barclays

Brokerage says the execution of the planned 100 store openings, effective go-to-market partnerships and online shopping enhancements will drive future growth

Barclays flags risks that includes elevated inventory levels, higher freight costs, tough sales comparisons, increased marketing spending, and tariff uncertainty, which may collectively pressure profit margins and impact sales

As of last close, ANF stock down 51.2% YTD