ANF  Abercrombie & Fitch Company

Exchange

NYSE

Sector

Consumer Services

Industry

Clothing/Shoe/Accessory Stores

Market Cap.

766.34M

Vuru Grade

58.36/100

Current Price

$11.31
+0.06 (+0.53%)

Growth Price

$29.13
Undervalued by 157.60%

Stability Price

$93.29
Undervalued by 724.85%

Company Metrics

  • P/E 195
  • P/S 0.23
  • P/B 0.61
  • EPS 0.06
  • Cash ROIC 9.25%
  • Cash Ratio 1.10
  • Dividend 0.8 / 7%
  • Avg. Vol. 3.75M
  • Shares 67.76M
  • Market Cap. 766.34M

Company Description

Abercrombie & Fitch Co., through its subsidiaries, operates as a specialty retailer of casual apparel for men, women, and kids. The company sells casual sportswear apparel, including knit and woven shirts, graphic t-shirts, fleece, jeans and woven pants, shorts, sweaters, and outerwear; personal care products; and accessories under the Abercrombie & Fitch, abercrombie kids, and Hollister brands. I... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

Why Shares of Abercrombie & Fitch Co. Are Surging Today
Motley Fool - Mar 2, 2017
Abercrombie and Fitch Co. actually didn't post very positive results for the year in terms of growth -- sales were down 7% year over year with same-store sales companywide down 5%, and net income dropped to $4 million compared with over $35 million for ...
Abercrombie & Fitch earnings: Here's what may signal the company is out of ideas - MarketWatch
Earnings Reaction History: Abercrombie & Fitch Co., 72.7% Follow-Through ...
Nasdaq - Mar 2, 2017
Abercrombie & Fitch Co. ( ANF ) is due to issue its quarterly earnings report in the upcoming extended-hours session. Given its history, traders can expect very active trading in the issue immediately following its quarterly earnings announcement ...
Arrowstreet Capital is Buying Abercrombie & Fitch Co (NYSE:ANF) Shares
Small Cap Exclusive (press release) - Mar 21, 2017
For those not familiar with the company, Abercrombie & Fitch Co. (A&F) is a specialty retailer that operates stores and direct-to-consumer operations.
Abercrombie & Fitch Co. Risk Points versus Consumer Staples - CML News
Abercrombie & Fitch Co. (ANF) Receives $16.26 Consensus Price Target from Analysts - The Cerbat Gem
ABERCROMBIE & FITCH CO. (NYSE:ANF) Files An 8-K Regulation FD Disclosure
Market Exclusive - Mar 22, 2017
Abercrombie & Fitch Co. (A&F) is a specialty retailer that operates stores and direct-to-consumer operations. Through these channels, the Company sells products, including casual sportswear apparel, including knit tops and woven shirts, graphic t ...
Abercrombie & Fitch Co. (ANF) Shares Sold by State Street Corp - The Cerbat Gem
Slow Week For Abercrombie & Fitch Co. (NYSE:ANF) As Shares End in the Red - Melville Review
A Keen Look At The Chart For Abercrombie & Fitch Co. (ANF)
NY Stock News - Mar 23, 2017
Abercrombie & Fitch Co. (ANF) has presented a rich pool of technical data in recent sessions. These are the trends we've been tracking and how we feel they should be played in the current environment.
Why Investors remained confident on Novavax, Inc. (NVAX), Abercrombie & Fitch ...
StockNewsJournal - Mar 23, 2017
Abercrombie & Fitch Co. (NYSE:ANF), maintained return on investment for the last twelve months at 0.90, higher than what Reuters data shows regarding industry's average.
Traders Recap: Abercrombie & Fitch Company (NYSE:ANF) , NCR Corporation (NYSE:NCR) - NYSE Journal (press release)
Analysts Opinions Grabbing Stocks- Abercrombie & Fitch Co. (NYSE:ANF), Fiserv ... - Seneca Globe
Abercrombie & Fitch Co. (ANF): What's the Story?
StockNewsJournal - Mar 22, 2017
Abercrombie & Fitch Co. (ANF) is an interesting player in the Services space, with a focus on Apparel Stores. The stock has been active on the tape, currently trading at $11.43, down from yesterday's close by -2.06%.
The 3.7% Stake of Abercrombie & Fitch Co. (ANF) Held by Arrowstreet Capital ... - Petro Global News 24
Option Market Alert: Abercrombie & Fitch Co. Implied Price Swing Hits An ... - CML News
The Technical Facts on Abercrombie & Fitch Co. (ANF)
The USA Commerce - Mar 24, 2017
We have gathered the technical data on Abercrombie & Fitch Co. (ANF), and see some interesting trends in the stock's behavior of late.
Mid-Morning Market Update: Markets Edge Lower; Abercrombie & Fitch Earnings ...
Nasdaq - Mar 2, 2017
Abercrombie & Fitch Co. (NYSE: ANF ) reported weaker-than-expected earnings for its fourth quarter on Thursday. Abercrombie & Fitch reported Q4 earnings of $0.71 per share on revenue of $1.04 billion.
What are Analyst's Indicators for Groupon, Inc. (GRPN), Abercrombie & Fitch Co ...
The USA Commerce - Mar 21, 2017
Latest closing price was 4.82% above its 50-day moving average and -4.64% below its 200-day moving average. On 03/20/2017 close, Abercrombie & Fitch Co. (NYSE:ANF) plummeted -2.75% to $11.67. The stock currently has a Market Cap of $789.83M.
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for ANF to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate ANF's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$11.31 Current Price

$29.13 Growth Price (DCF)

Undervalued by 157.60%


Growth Rate Assumed by Market: -500.00%


Future Free Cash Flow Growth Rate: -12.0%


Discount Rate: 15.0%


Show Free Cash Flow numbers

$93.29 Stability Price (EPV)

Undervalued by 724.85%


Discount Rate: 15.0%

$0.55 NCA Price

Overvalued by 95.17%

$39.82 Book Price

Undervalued by 252.12%


Poor Cash Return on Invested Capital over the past 5 years

ANF has been unable to consistently generate sufficient returns from its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

ANF has only created $9.25 of cash for every $100 invested.
Figures in USD. Fiscal year ends in January
20122013201420152016
Free Cash Flow 46.62M 344.31M 11.57M 137.86M 166.74M
divided by
Invested Capital 1.67B 1.65B 1.68B 1.50B 1.31B
Cash ROIC 2.78% 20.83% 0.69% 9.20% 12.73%

Poor Return on Equity over the past 5 years

ANF has shown an inability to deliver strong results for shareholders. This could be due to poor management, ANF operating in a highly competitive industry, or having a weak business in general.

ANF has only generated $5.95 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in January
20122013201420152016
Net Income 127.66M 237.01M 54.63M 51.82M 38.56M
divided by
Stockholders' Equity 1.86B 1.82B 1.73B 1.39B 1.29B
Return on Equity 6.85% 13.03% 3.16% 3.73% 2.99%

Excellent Business Performance over the past 10 years

ANF has been able to maintain profitability in good times and bad. This could mean ANF has an extremely strong business or has the ability to scale down costs when needed. This should be a fairly resilient business, but double check for future sustainability by looking at its Risk Factors in the Annual Report.

ANF has created positive free cash flow for 9 or more of the past 10 years.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Free Cash Flow 178.70M 414.48M 123.23M 226.73M 230.85M 46.62M 344.31M 11.57M 137.86M 166.74M

Strong Balance Sheet

ANF is financially strong with Current Assets covering Total Liabilities. It's in a fairly liquid position and dependent on the amount and saleability of any inventory; it may have the financial security to survive an economic downturn.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Cash 529.75M 648.53M 522.12M 712.47M 826.35M 668.15M 643.51M 600.12M 520.71M 588.58M
Current Assets 1.09B 1.14B 1.08B 1.24B 1.43B 1.49B 1.31B 1.32B 1.16B 1.18B
Total Assets 2.25B 2.57B 2.85B 2.82B 2.95B 3.05B 2.99B 2.85B 2.51B 2.43B
Current Liabilities 510.63M 543.11M 449.80M 449.37M 558.85M 705.35M 690.80M 568.22M 485.96M 534.70M
Total Liabilities 842.77M 949.29M 1.00B 993.95M 1.06B 1.19B 1.17B 1.12B 1.12B 1.14B
Stockholder' Equity 1.41B 1.62B 1.85B 1.83B 1.89B 1.86B 1.82B 1.73B 1.39B 1.29B
Current Ratio 2.14 2.10 2.41 2.75 2.56 2.11 1.89 2.32 2.40 2.20
TL-to-TA 0.37 0.37 0.35 0.35 0.36 0.39 0.39 0.39 0.45 0.47

Consistent Reinvestment of Profits over the past 10 years

ANF has consistently retained profits. This may put ANF in a strong position to invest for the future, by buying new machinery, investing in R&D or a number of other options. By effectively using these earnings, ANF can greatly improve their long-term economic picture.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Retained Earnings 1.65B 2.05B 2.24B 2.18B 2.27B 2.32B 2.57B 2.56B 2.55B 2.53B
Retained Earnings Growth - 24.61% 9.43% -2.73% 4.06% 2.12% 10.63% -0.43% -0.22% -0.80%

Highly Competitive Industry over the past 10 years

It's likely that ANF is in an industry with low barriers to entry, spurring high competition. If Gross Margins are at least satisfactory, it's likely ANF invests heavily in R&D and Sales, General & Administrative expenses.

Only $4.96 of every $100 of Revenue have been profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Net Income 422.19M 475.70M 272.26M 254,000.00 150.28M 127.66M 237.01M 54.63M 51.82M 38.56M
divided by
Revenue 3.32B 3.75B 3.54B 2.93B 3.47B 4.16B 4.51B 4.12B 3.74B 3.52B
Net Profit Margin 12.72% 12.69% 7.69% 0.01% 4.33% 3.07% 5.25% 1.33% 1.38% 1.10%

Strong Pricing Power over the past 10 years

ANF has maintained substantial gross margins, suggesting that they have been able to set prices without consideration of the cost of goods sold. This potentially leaves flexibility in inflationary environments to raise prices on consumers and maintain profitability.

$67.65 of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Gross Profit 2.21B 2.51B 2.36B 1.88B 2.21B 4.16B 2.82B 2.58B 2.31B 2.16B
divided by
Revenue 3.32B 3.75B 3.54B 2.93B 3.47B 4.16B 4.51B 4.12B 3.74B 3.52B
Gross Margin 66.57% 66.97% 66.71% 64.32% 63.77% 100.00% 62.44% 62.56% 61.79% 61.32%

High Capital Intensity over the past 10 years

ANF spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

7,090.73% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Capital Expenditure 403.48M 403.35M 367.60M 175.47M 160.94M 318.60M 339.86M 163.92M 174.62M 143.20M
divided by
Net Income 422.19M 475.70M 272.26M 254,000.00 150.28M 127.66M 237.01M 54.63M 51.82M 38.56M
Capital Expenditure Ratio 95.57% 84.79% 135.02% 69,083.46% 107.09% 249.57% 143.40% 300.07% 336.98% 371.38%

Very Strong Dividend History over the past 10 years

ANF has consistently distributed a dividend for at least the past 10 years. Such a long dividend history suggests ANF is very established in its market and that its dividend distribution is likely to continue for a significant period of time.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Dividend Paid 61.62M 61.33M 60.77M 61.50M 61.66M 60.96M 57.63M 61.92M 57.36M 55.15M
divided by
Shares Outstanding 92.01M 91.52M 89.29M 88.61M 89.85M 89.54M 83.18M 78.67M 72.94M 69.42M
Dividend Paid Per Share 0.67 0.67 0.68 0.69 0.69 0.68 0.69 0.79 0.79 0.79
Price at Year End 74.10 20.95 34.16 57.19 48.66 45.76 33.19 28.76 27.46 12.00
Dividend Yield 0.90% 3.20% 1.99% 1.21% 1.41% 1.49% 2.09% 2.74% 2.86% 6.62%

Strong History of Stock Buybacks over the past 10 years

ANF has a strong history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Shares Outstanding 92.01M 91.52M 89.29M 88.61M 89.85M 89.54M 83.18M 78.67M 72.94M 69.42M
Stock Bought Back - 0.53% 2.50% 0.77% -1.38% 0.35% 7.65% 5.73% 7.85% 5.07%
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