Abercrombie & Fitch (ANF) is expected to report "solid" fiscal Q3 results, but the event will likely have limited upside on the stock, UBS said in a Tuesday note. The Q3 results are due Nov. 24.
"We believe ANF had a healthy Q3, reflecting solid trends across both its brands," the report said.
UBS forecast a 19-cent beat in Q3 EPS on better than expected sales and gross margin. It expects a rise in 2026 EPS guidance to $13.40 to $13.70 range with an in-line Q4 outlook.
The report said the market already anticipates a similar outlook.
"This, along with the stock's 29% run over the last 3m, causes us to see limited upside over the event," the note said.
UBS reiterated its buy rating on the stock and increased its price target to $200 from $185.
Price: 150.86, Change: -3.14, Percent Change: -2.04
