• Two Losers, Two Winners and a Hidden Gem in Teen Apparel

    By Leo Sun - June 3, 2013 | Tickers: ANF, ARO, GPS, WTSL, URBN | Editor's Choice

    Of all the segments of the retail apparel sector, the teen and young adults sector is one of the most brutal. These retailers, which include Abercrombie & Fitch (NYSE: ANF), Aeropostale (NYSE: ARO), Forever 21 and H&M, must continuously keep their styles fresh and relevant, while finding new ways to outmaneuver their industry peers.

    Yet teens continue to be an extremely lucrative market for these retailers. A recent survey from more »

  • This Retailer's Earnings Are Slim, But Not Cool At All

    By Tedra DeSue - May 29, 2013 | Tickers: ANF, ARO, GPS

    Upon hearing that often controversial Abercrombie & Fitch (NYSE: ANF) had a lousy first quarter, I was surprised. After all, this brand is the be-all and end-all for teens who wish to be cool, not to mention the masses of them who are the perfect size!

    Clearly, I’m being sarcastic here, but the arrogance that this company was built on is in many ways exactly what it thrived on. So more »

  • 5 Teen Retailers Vie for the Coveted Title of Miss Wall Street High

    By Erin McBride - May 28, 2013 | Tickers: ANF, ARO, AEO, GPS, RUE

    This is a tale of five teenage girls at Wall Street High School. Each one was known for her clothes, and setting the standard for fashion at WSHS. And just like at every high school in America, there is a popularity contest and fierce rivalry between these frenemies. Each one wants to be crowned, "Miss Wall Street High," but first she has to earn it with her quarterly earnings.

    "I more »

  • A Bargain Remains in the Apparel Business

    By Matthew Frankel - May 15, 2013 | Tickers: ANF, ARO, AEO

    American Eagle Outfitters (NYSE: AEO) is one of the leading specialty retailers targeting the younger consumers (and the young at heart). With rising revenues, a pretty solid track record of earnings, and one of the better dividend yields in the sector, American Eagle seems to be doing just fine. Additionally, despite their success, shares are still about 18% below their 52-week high, at a time when the entire market seems more »

  • Which Specialty Retailers to Buy Now?

    By Anh HOANG - May 14, 2013 | Tickers: ARO, AEO, GPS

    In the beginning of the year, I wrote about two retailers, The Gap (NYSE: GPS) and Aeropostale (NYSE: ARO), and thought they were both cheap at that time. To my surprise, both of them have achieved quite decent gains on the market, beating the S&P 500’s return in more than five months. While the S&P 500 has risen nearly 14.18%, Aeropostale and Gap have increased 14 more »

  • Out of Favor, Overlooked, and Misunderstood Gems

    By Reuben Brewer - April 23, 2013 | Tickers: ARO, STTYF, SLW, UPL

    Jim Roumell of Roumell Opportunistic Value Fund (RAMSX) doesn't look for stocks where everyone else does—there's no edge in that. He keeps his eyes open for opportunistic investments that are out of favor, overlooked, and misunderstood. Today, he is seeing opportunities in Ultra Petroleum (NYSE: UPL), Aeropostale (NYSE: ARO), and Sandstorm Metals & Energy (NASDAQOTH: STTYF).

    A New Fund With Deep Roots

    Roumell Opportunistic Value Fund is a more »

  • 3 Apparel Stocks You Must Consider

    By Madhukar Dubey - April 22, 2013 | Tickers: ARO, KSS, ROST

    The apparel industry is all set for a challenging yet interesting 2013. In terms of cashing in on the opportunities, the industry needs to improve its flexibility in the supply chain, improvise designs, and innovate, along with retaining thin margins. Increasing production costs and slow volume growth further intensify the challenges.

    In this article, I have picked up three apparel stocks, Aeropostale (NYSE: ARO), Ross Stores (NASDAQ: ROST), and Kohl more »

  • Is This Stock Worth Buying?

    By Shas Dey - April 3, 2013 | Tickers: ARO, AEO, RUE

    rue21 (NASDAQ: RUE), a specialty apparel retailer, reported 4Q12 results with sales increasing 22.4% to $269 million, compared to consensus estimates of $203 million. Same-store sales edged up 0.5% as against expectations of negative low-single digits. Further, despite the promotional environment, gross margin improved 110 basis points to 37.6%. In line with its peers, it has guided for (2)% same store sales in 1Q13. Let us compare more »

  • Is This Retailer a Contrarian Value Play?

    By Leo Sun - March 29, 2013 | Tickers: ANF, ARO, AEO, PLCE

    Shares of children’s apparel retailer Children’s Place Retail Stores (NASDAQ: PLCE) recently tumbled after the Secaucus, N.J.-based retailer followed up its robust fourth quarter earnings with a bleak forecast for the current quarter. For investors who have been following the retail apparel industry, Children’s Place’s sour outlook doesn’t come as much of a surprise, following similarly downbeat numbers from kid and teen retailers more »

  • 1 Apparel Stock to be Strictly Avoided

    By Pratik Thacker - March 21, 2013 | Tickers: ARO, MW, ZUMZ

    There seems to be no hope for this retailer. The Men’s Wearhouse (NYSE: MW) posted a lackluster quarter recently. The stock jumped nearly 20% on Thursday on the word that it has engaged Jefferies & Co. to evaluate strategic alternatives for one of its chains. The losses of the company narrowed down, and revenue improved. However, the results did not meet Wall Street expectations.

    Taking a deeper look

    The retailer more »

  • More Buyouts in the Teen Clothing Space?

    By Mike Thiessen - March 20, 2013 | Tickers: ANF, ARO, HOTT

    In early March, the already volatile world of youth fashion was rocked by the announcement that City of Industry, Calif.-based teenage clothing retailer Hot Topic (NASDAQ: HOTT) accepted an all-cash buyout offer from privately held asset management firm Sycamore Partners.

    The $600 million deal will provide a significant return for long-term Hot Topic shareholders, and result in Hot Topic's demise as a publicly-traded company. It will also represent more »

  • This Specialty Retailer Could See a 60% Upside

    By Anh HOANG - March 19, 2013 | Tickers: ANF, ARO, HOTT

    Specialty retailer Aeropostale (NYSE: ARO) has experienced a quite a disappointing stock price performance in the past twelve months. It has declined by more than 40%, from $20.30 per share to around $14.20 per share. Investors might be scared of the further significant decline in its share price in the near future. However, I personally think that at its current price, Aeropostale is trading at a huge discount more »

  • Aeropostale's Epic Nosedive to Unprofitability

    By Leo Sun - March 18, 2013 | Tickers: ANF, ARO, AEO, GPS, HOTT

    Apparel retailer Aeropostale (NYSE: ARO) might be in serious trouble. The company recently reported fourth quarter earnings that slightly topped analyst estimates, but followed it up with sour prospects for the current quarter. As expected, shares slid, and investors started to question the sustainability of Aeropostale’s business of selling clothes to teens and tweens - possibly the planet's most fickle demographic.

    Operations Overview

    Aeropostale operates two primary brick and more »

  • American Eagle – Outperforming the Industry

    By Shas Dey - March 8, 2013 | Tickers: ANF, ARO, AEO

    American Eagle Outfitters (NYSE: AEO), the specialty retailer, is about to release its fourth quarter earnings on Mar. 6. Here we take a look at the performance of the company and its stock before the release of its financial performance.

    Operating segments

    The company has divided its operational segments based on its various brands. Its original American Eagle brand sells products for 15 to 25-year-old men and women. The more »

  • One Retailer for the Long Haul

    By Joshua Bondy - March 5, 2013 | Tickers: ARO, AEO, BKE, URBN

    The fashion industry is known for fads and trends. The Buckle (NYSE: BKE) sells a variety of clothing to young adults and it works hard to maintain its corporate strategy. The firm's focus on the Midwest may appear like a low growth idea, but it has helped Buckle to post strong margins and a high return on investment.

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    AEO Return on Invested Capital data by YCharts

    The Competition 

    American more »

  • This Retailer May Be Doomed in 2013

    By Leo Sun - March 5, 2013 | Tickers: ANF, ARO, AEO, GPS | Editor's Choice

    Abercrombie & Fitch (NYSE: ANF) has had a rough five years. The stock has plunged 40% as the company’s same-store sales, operating margins and earnings growth have all steadily declined. The retailer’s iconic branded clothing is quickly losing its appeal to its younger, more agile rivals, and its bleak outlook for 2013 suggests even darker times ahead. Is it time for investors to dump this burned retailer?

    A Mixed more »

  • Which Clothing Retailer Is The Best Investment, If Any?

    By Matthew Frankel - March 4, 2013 | Tickers: ANF, ARO, AEO, GES

    With the general direction of the market being to the upside over the past year or so, there is one area that has been plagued by disappointing earnings numbers and declining share prices.  I’m talking about the clothing industry, with household names such as Abercrombie and Fitch (NYSE: ANF) and Limited Brands down from where they were a year ago.  Abercrombie seems to have been on a roller-coaster ride more »

  • Ann Taylor has a Promising Outlook

    By Shas Dey - February 14, 2013 | Tickers: ARO, ANN, JNY

    Key revenue drivers

    Ann Inc (NYSE: ANN) owns a chain of retail stores, eCommerce platform and discount or economy stores in the U.S. (Ann Taylor factory outlets and LOFT stores.) Revenue generated through LOFT stores have been a major contributor to the total revenue of Ann Taylor over the past few years, and going forward we expect the upward trend to continue.  In the current state of the US more »

  • Billionaire Ken Griffin Is Dressing To Impress

    By Marshall Hargrave - February 4, 2013 | Tickers: ARO, EXPR, FNP, GES, JWN

    Billionaire investor and founder of Citadel Investment Group increased his stake by 240% in the clothing retailer Express (NYSE: EXPR), per a 13G filing earlier this month. At the end of the third quarter, Citadel owned 1.41 million shares, and now owns 4.8 million shares or 5.6% of Express' outstanding shares. The stock is up 20% already this year after upping its full year 2012 (ending Feb more »

  • Great Brands And A Great Plan

    By Matthew Frankel - February 4, 2013 | Tickers: ANF, ARO, AEO

    Abercrombie and Fitch (NYSE: ANF) shareholders have had a bit of a roller-coaster ride over the past several years.  This company has several brands that are and have been popular among the “cool kids” even since I was in high school.  However, as their products are relatively expensive, the recession of a few years ago hit Abercrombie particularly hard, as it did most retailers of “luxury” items.

    With the massively more »