Abercrombie & Fitch Is Facing A Terrifying Reality About Its Most Loyal Customers

by MR Magazine Staff

The foreign tourists who line up at Abercrombie & Fitch are increasingly nervous about spending money — and that could hurt the brand’s turnaround. The euro’s value against the dollar has declined steadily in recent years, which means that European tourists aren’t shopping as much, Eric Beder, analyst at Wunderlich Securities, wrote in a recent note to clients. “With [foreign exchange] still a key issue, and tourist traffic remaining a negative, we continue to be cautious on ANF and believe the company still faces a number of key issues in terms of fashion outlook, productivity and an overall weak teen segment to overcome before regaining anything similar to a premium multiple,” Beder said. Read more at Business Insider.