Here’s Why Abercrombie & Fitch Co. (ANF) Is Among Monday’s Top Losers

We recently compiled a list of the 10 Firms Drop on Bearish Statements, Disappointing Earnings. In this article, we are going to take a look at where Abercrombie & Fitch Co. (NYSE:ANF) stands against the other stocks.

Ten companies—mostly under the quantum computing sector—kicked off the trading week leading declines amid not-so-optimistic statements from chief executives and disappointing earnings updates that have weighed in on investor sentiment.

Meanwhile, Wall Street’s main indices ended mixed, with the Dow Jones and S&P’s main index the only gainers, up 0.86 percent and 0.16 percent, respectively. Meanwhile, the Nasdaq Composite dropped by 0.38 percent.

To come up with Monday’s top losers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

A close-up of a customer trying on a piece of apparel in the retailer’s spacious dressing room, emphasizing the company’s focus on personal care and experience.

Abercrombie & Fitch Co. (NYSE:ANF)

Abercrombie & Fitch Co. (NYSE:ANF) fell by 15.66 percent on Monday to end the day at $135.72 after the company’s recent earnings performance came in short of last year’s blockbuster growth.

On Monday, Abercrombie revised its sales forecast for the fourth quarter of 2024 to 7-8%, an increase from the 5-7% range previously, but still below the double-digit growth experienced in the same period in 2023.

In addition, it raised its full-year net sales growth outlook to around 15% from the previous range of 14-15%. The operating margin outlook for both the fourth quarter and full year remains at around 16% and 15%, respectively.

The revised forecast aligns with a broader trend among retailers which have also reported lower-than-expected holiday season demand.

Abercrombie (NYSE:ANF) is a leading global specialty retailer of apparel and accessories. It owns brands Abercrombie & Fitch, YPB, abercrombie kids, Hollister, and Gilly Hicks.

Overall ANF ranks 2nd on our list of Monday’s top losers. While we acknowledge the potential of ANF as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ANF but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.