Jim Cramer Recently Discussed These 15 Stocks

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10. Abercrombie & Fitch Co. (NYSE:ANF)

Number of Hedge Fund Holders: 42

Abercrombie & Fitch Co. (NYSE:ANF) was examined as a high-risk, high-reward teen retail stock with contrasting performances from its two core brands. Cramer praised the company’s leadership and strategic repositioning, and suggested even buying call options before Tuesday:

“Abercrombie was a disaster until Fran Horowitz took over as CEO in 2017. She’s brought it back from the brink. And we can’t ignore that context when we’re thinking about one bad quarter from a half the business. […]

To me, it’s also the opportunity here. Right now Abercrombie is clearing out the wrong inventory, bringing in fresh product and given Horowitz’ tremendous track record, possibility of a big turnaround. I’m calling it huge! [presses Buy Buy Buy button].

We know she believes in the most recent quarter. She had the company repurchase $200 million worth of stock, 5% of the total outstanding shares. Strong commitment. Now Abercrombie is a small company – market cap of just $3.7 billion – and a huge short position standing at 13.8%.

If you think that Hollister can stay hot for another quarter and the Abercrombie brand can turn, this one could be explosive. Plus, unlike so many other retailers, Abercrombie really got ahead of the tariff issue. […] They source from 16 countries. Nice diversification.

And then here’s the real opportunity. Write this down. Next Tuesday, Matt Boss from JP Morgan on our network today. He’s the best retail analyst in the business. He has a buy on the stock. […]

If there’s any improvement at all in flagship Abercrombie, this stock could go bonkers. As people remember a year ago when this $78 stock stood at $178. […] You got my blessing to buy the stock on Monday. […]

I don’t usually recommend options here, but I can tell you that if I were to buy Abercrombie ahead of the talk on JP Morgan on Tuesday, I actually might even do it with deep in-the-money calls. And I never I never mention or recommend calls.”

Abercrombie & Fitch Co. (NYSE:ANF) is a specialty retailer with two main brands—Abercrombie and Hollister—catering to fashion-conscious teens and young adults.

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