12 Most Undervalued Retail Stocks To Buy According to Analysts

4. Abercrombie & Fitch Co. (NYSE:ANF)

Forward P/E: 13.84

Analyst Upside: 31.36%

Abercrombie & Fitch (NYSE:ANF) is a digitally-led, global omnichannel retailer that offers an assortment of apparel, accessories, and personal care products for men, women, and children. It primarily sells its items through company-owned stores, digital channels, and various third-party arrangements. Its brands include Abercrombie & Fitch, abercrombie kids, and Hollister brands, which are spread over various geographical segments, including the Americas, EMEA, and APAC.

The company demonstrated sustainable profitable growth in 2024. It delivered fiscal Q2 2024 net sales growth of 21%, reaching $1.1 billion with an operating margin of 15.5%. This growth was attributed to Abercrombie & Fitch’s (NYSE:ANF) consumer-centric priorities and long-term growth priorities across regions and brands, making fiscal Q2 2024 the seventh consecutive quarter of net sales growth.

This reflects the strength of the company’s brands, which have managed to grow consistently in a dynamic, often uncertain consumer environment. Its strong global brand portfolio lends it a competitive market edge, and so does the company’s focus on satisfying new and returning customers across experience and product voice. Abercrombie & Fitch (NYSE:ANF) also has an agile modern supply chain and a culture of financial discipline, which further enables the company to deliver its goals across a range of macro environments. It takes the fourth spot on our list of the 12 most undervalued retail stocks to buy according to analysts.