In this video, Motley Fool Consumer Goods Analyst Blake Bos discusses the big pop recently in Abercrombie & Fitch (NYSE:ANF). After the company released earnings, shares jumped 40%. Bos, however, was not so impressed. He highlights lackluster domestic and negative international same-store sales, out-of-control SG&A costs, and share price over-valuation as reasons why this stock isn't as interesting as it may seem. He recommends that investors who are interested in the retail sector diversify into several places, and he offers a few suggestions.
Blake Bos has no positions in the stocks mentioned above. The Motley Fool owns shares of The Buckle and Coach. Motley Fool newsletter services recommend The Buckle, Coach, and Gap. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.