Abercrombie and Fitch (ANF) will release its earnings report tomorrow: what to expect

Young adult clothing retailer Abercrombie & Fitch (NYSE:ANF) will report earnings tomorrow before market hours. Here’s what investors need to know.

Abercrombie and Fitch beat analysts’ revenue expectations by 1.5% last quarter, reporting revenue of $1.45 billion, up 21.1% year-over-year. It was a very strong quarter for the company, with it impressively beating analyst revenue and profit estimates.

Does the purchase or sale of Abercrombie and Fitch affect profits? Read our full analysis here, it’s free.

Analysts expect Abercrombie and Fitch’s revenue to grow 15.4% year-over-year to $965 million this quarter, an improvement over the 2.9% growth reported in the same quarter last year. Adjusted earnings per share are expected to be $1.72.

Looking at earnings, analysts covering the company are becoming more bullish, with revenue estimates seeing 5 upward revisions in the last 30 days. Over the past two years, Abercrombie and Fitch has missed Wall Street revenue estimates only once, beating expectations by an average of 3.4%.

Looking at Abercrombie and Fitch’s competitors in the apparel and footwear retail segment, some of them have already released first-quarter results, which gives us a hint of what to expect. Urban Outfitters reported revenue growth of 7.8% year-over-year, beating analyst expectations by 1.8%, and Shoe Carnival reported revenue growth of 6.8%, beating estimates by 2%. Following the results, shares of Urban Outfitters fell 4.5%, while Shoe Carnival rose 7.9%.

Read our full analysis of Urban Outfitters’ results here and Shoe Carnival’s results here.

Investors in the retail apparel and footwear segment are enjoying positive sentiment, with share prices up an average of 6.7% over the past month. Meanwhile, Abercrombie and Fitch is up 20.3% and heading toward earnings, with an average analyst price target of $144.7 (versus the current share price of $150.79).

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