Abercrombie & Fitch has Q4 upside potential, says William Blair William Blair said Abercrombie had a solid holiday season and could report Q4 upside. The analyst said Abercrombie's inventory position has improved and there has been some stabilization in Europe. The firm expects the company to to benefit from improved inventories and easier comps. Shares are Outperform rating
American Eagle downgraded to Sell from Neutral at Goldman Goldman Sachs downgraded American Eagle (AEO) to Sell saying it sees 29% downside risk over the next six months. Goldman believes declining mall traffic and "aggressive competition" from low cost stores puts the retailer in a multi-year period of diminishing productivity, margins, and returns. Its six-month price target for American Eagle is $12. Shares of the retailer closed yesterday up 17c to $16.92. Goldman lists Ann Inc. (ANN), Abercrombie & Fitch (ANF) and American Eagle as its top sell ideas in the Specialty Apparel space. Its lone Buy rated name in the group is Urban Outfitters (URBN).