We recently published a list of Was Jim Cramer Right About These 12 Stocks? In this article, we are going to take a look at where Abercrombie & Fitch Co. stands against other stocks that Jim Cramer discusses.
Back in 2024, on May 17, a caller highlighted Abercrombie & Fitch Co.’s impressive returns and asked Cramer to weigh in. He was enthusiastic and called it the best retailer he followed at the time:
“Oh yeah, I mean I was reading the MVP again today. I think — I expect nothing but good things. You are dead right. Why is that market cap so small and that company so good? I think it’s because of leftover memory of what it used to be like.”
A close-up of a customer trying on a piece of apparel in the retailer’s spacious dressing room, emphasizing the company’s focus on personal care and experience.
However, Cramer’s favorite retailer dropped sharply after his endorsement, falling 41.69% and reversing its momentum.
Abercrombie & Fitch Co. has disappointed after a powerful run, weighed down by tough comps and shifting consumer habits. Cramer appeared more cautious in a recent episode in late April but still thinks it’s a good buying opportunity. Here’s the outlook he gave for the stock:
“You know what, I’ve got to see what they look like in a tariffed world… because I don’t know exactly how much of their stuff is going to have to go up in price. The stock is reflecting a lot of that, but you’re right, it’s six times earnings. But you and I both know six times earnings means usually that the earnings are too high. But it’s 65 bucks, $3.3 billion company. I think you can pick up a little, but then wait.”
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This article is originally published at Insider Monkey.
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