Abercrombie&Fitch Because Stock Prices Continue To Fall Or Will Be Acquired

As share prices continue to shrink over the past 17 years, the Abercrombie&Fitch Co. (NYSE:ANF) has become the target of acquisition.

According to the world clothing shoes and hats net, the American Teenager

Retailers have hired investment bank Perella Weinberg Partners LP to handle contacts from other retailers.

News stimulated Abercrombie&Fitch Co. (NYSE:ANF) surged 4.7% in the 10 day trading session.

According to its closing price of $12.67 on Tuesday 9, Abercrombie&Fitch Co.'s current market capitalization is less than $870 million.

According to the data, it was in the United States and international in January 31st.

There were 709 stores and 189 stores respectively, and net sales in 2016 were $3 billion 326 million 700 thousand, down 5.5% from the same period last year.

The group's same store sales have not been able to grow for 16 consecutive quarters. Chief executive Fran Horowitz pointed out in March's earnings report that the expected performance reflects the challenging and competitive retail environment, and is expected to continue to be challenged in 2017.

Although the Hollister brand, which has contributed more to the group, has resumed growth in the same store during the holiday season, but for the first time in the past year, it has the same brand name.

In the doldrums, sales in the same holiday season slumped by 13%. The Group believes that the brand will improve this year, but management has refused to make clear that "improvement" means restoring growth or reducing the decline.

Last year, the group's net profit dropped by 88.9%, from $35 million 576 thousand in fiscal year 2015 to $3 million 956 thousand, and adjusted EPS from $1.12 in fiscal year 2015 to -0.06 dollars.

American Eagle Outfitters Inc. (NYSE:AEO) and A e ropostale Inc., which are listed as the three largest youth clothing retailers in the United States with Abercrombie&Fitch Co., have gone on the way. The former relies on the girl underwear brand Aerie "salted fish turn over", and the latter was once bankrupted, rescued by two retail real estate developers and brand management companies from the bankruptcy.

The group closed 54 stores last year and will end 60 stores this year as the lease expires.

About half of the 709 U.S. stores will be closed before the end of fiscal year 2018, which means that next year, the group will give the group more room to adjust its retail sales.

Joanne Crevoiserat, chief financial officer, said that they had not been very polite about closing stores. In the past 5 years, the group has closed hundreds of stores.

The group will also cut 150 corporate jobs this year.

While reducing the size of the entity, Abercrombie&Fitch Co. is strengthening e-commerce, especially in the international market. Last month, the group announced that the two brands of Hollister and Abercrombie&Fitch will be stationed in Alibaba Group Holding Ltd. (NYSE:BABA) Alibaba's Southeast Asian e-commerce platform Zalora.

Fran Horowitz previously stressed that despite the poor sales and earnings performance, the balance sheet remained stable.

As of January 28th, the group had 547 million 200 thousand dollars in cash and cash equivalents.

In addition to A ropostale Inc., in recent years, retailers in the disadvantaged retail markets of the United States were also Wet Seal Inc., BCBG Max Azria Group LLC, and Group and so on because of poor management. At the beginning of this year, the company also went bankrupt because of the huge debts of private equity holders after the paction. Young apparel retailer 21 was also on the brink of bankruptcy.

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