Abercrombie & Fitch price target lowered to $147 from $155 at Morgan Stanley

Morgan Stanley lowered the firm’s price target on Abercrombie & Fitch to $147 from $155 and keeps an Equal Weight rating on the shares. Q2 outperformance and a guidance raise were “overshadowed” by a gross margin miss and high expectations, says the analyst. While the firm views both Q3 and fiscal year guidance as “beat-able,” it argues that the report and reaction “confirms our fears that significant positive EPS revisions may be behind ANF.”