Surprise! Aeropostale and Abercrombie Are Hot Again

by Christopher Freeburn | November 14, 2012 11:21 am

Surprise! Aeropostale and Abercrombie Are Hot Again

AbercrombieFitch Exterior 300x225 Surprise! Aeropostale and Abercrombie Are Hot Again[1]Shares of Abercrombie & Fitch (NYSE:ANF[2]) and Aeropostale (NYSE:ARO[3]) rose sharply on Wednesday as the two teen apparel makers each reported good news.

Investors sent Abercrombie shares surging more than 27% after it announced quarterly results that exceeded estimates[4]. The retailer posted earnings of $71.5 million during the third quarter, up from $50.9 million in the same period last year. EPS came in a 87 cents, topping the 59 cents that Wall Street was expecting, Reuters noted.

The company reported quarterly sales of $1.17 billion, up 9% over last year as international sales soared 37%.

Abercrombie also said it expects a profit of between $2.85 and $3 a share for 2012. That easily beat the $2.48 a share that analysts had forecast for the year.

Shares of Aeropostale climbed more than 6% on news that the apparel maker had acquired online women’s shoe and clothing retailer GoJane.com[5]. Aeropostale did not reveal financial details of the transaction.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2012/05/AbercrombieFitch-Exterior.jpg
  2. ANF: http://studio-5.financialcontent.com/investplace/quote?Symbol=ANF
  3. ARO: http://studio-5.financialcontent.com/investplace/quote?Symbol=ARO
  4. quarterly results that exceeded estimates: http://www.chicagotribune.com/business/sns-rt-us-abercrombieandfitchbre8ad0q7-20121114,0,7941331.story
  5. acquired online women’s shoe and clothing retailer GoJane.com: http://www.sacbee.com/2012/11/13/4983012/aeropostale-acquires-online-fashion.html

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