Citi upgraded Abercrombie & Fitch to Buy from Neutral with an unchanged price target of $190. The shares traded down 14% following a “very strong “Q2 report that fell a little short of high market expectations, the analyst tells investors in a research note. The firm sees 10 reasons for why the Abercrombie story “is not over,” and says the stock selloff provides an opportunity “to own this unique asset.” Abercrombie has one of the strongest turnarounds in retail history, the strongest comps in retail, Hollister showing “it can comp the comp, and conservatism is built into the second half of the year guidance, Citi contends.
