Can Abercrombie & Fitch Deliver In Its Next Earnings Report?

Group 1 - Abercrombie & Fitch (ANF) is expected to report fiscal Q1 earnings on May 28, 2025, with projected earnings of $1.34 per share and revenue of$1.06 billion, indicating a 37% decrease in earnings year-over-year but a 4% increase in sales compared to the previous year [1] - The company recorded full-year 2024 net sales of $4.95 billion, a 16% year-over-year increase, and achieved its highest operating margin in over a decade at 15% [2] - For 2025, net sales growth is projected to slow to 3%-5%, with operating margins expected to decrease slightly to 14%-15% due to trade tariff uncertainties [2] Group 2 - Historically, ANF stock has dropped 60% of the time after earnings announcements, with a median one-day decrease of 1.9% and a maximum decline of 10% [1] - Over the last five years, there have been 20 earnings data points for ANF, with positive one-day returns observed approximately 40% of the time, increasing to 50% in the last three years [6] - The median of positive one-day returns was 2.4%, while the median of negative returns was -1.9% [6]