Abercrombie Shares Down In First Quarter
Abercrombie and Fitch’s shares and sales are down, so far this year. After its long-time CEO stepped down six months ago, the Columbus-based retailer is trying to reinvent itself. But there’s question about whether it’s working. One expert who says it’s too soon to mark the company’s demise.
Abercrombie and Fitch shares are down nearly a third, this year. Its net sales have declined by 14 percent. A year ago, an A &F share was worth about $40. Today, it’s half that.
Westerville corporate analyst Eleanor Bloxham, who follows Abercrombie and Fitch, said it’s not over the company. But Bloxham said A &F has to convince investors its re-branding is on track.
"As we saw, for example, with the failed turnaround with J.C. Penney, investors will become anxious if turnaround takes too long or they're not believing that a real turnaround is going to happen," Bloxham said.
Bloxham said developing a less provocative brand was a good move. She said in today’s market, overly-sexualized brands are less successful.