Abercrombie & Fitch Gains, ASML Rises, Nike Jumps

On this edition of Stock Movers:

- Abercrombie & Fitch (ANF) shares gained today after JPMorgan boosted its price target on the retailer to $151, a street high, citing strength across categories and potential for sequential improvement in same-store-sales. Analyst Matthew Boss says: “We are raising our 2Q25 EPS to $2.33 (above Street $2.26) based on revenues +7.1% y/y (above Street +4.3% & management’s +3-5% revenue guidance) and same-store-sales growth of +4.7% same-store-sales growth (vs. Street +2.3%).”

- ASML Holding (ASML) and other European semiconductor equipment stocks gained today after their key customer, Samsung, won a contract to make AI chips for Tesla. Meanwhile, a US-EU trade agreement that exempts tariffs on semiconductor equipment gives an additional boost to the sector after its two-week long slide.

- Nike (NKE) shares are up today after JPMorgan upgrades to overweight from neutral, citing the earnings impact of the sportswear maker’s five-pronged multi-year recovery plan. JPMorgan analyst Matthew Boss notes that the recovery path will equate to positive earnings-per-share growth in the high teens to 20% through to the 2030 full-year. The recovery plan includes global inventory alignment to sales growth, accelerating momentum within global wholesale order books and 2H 2026 anniversary of about $500 million of accelerated and incremental sales-related reserves.

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Episode Transcript

Speaker 1 (00:02):
Bloomberg Audio Studios, Podcasts, radio News.

Speaker 2 (00:08):
The Stock Movers report, your roundup of companies making moves
in the stock market, harnessing the power of Bloomberg Data.

Speaker 3 (00:17):
I am Carol Masser along with Tim Staneveek. Let's take
a look at some stocks on the move.

Speaker 1 (00:20):
We are joined by Bloomberg Crossasset reporter Isabelle Lee A
and f We're gonna start with Abercromby and Fitch.

Speaker 4 (00:26):
Abercrombie and Fitch. So the stock gained almost seven percent.
That's after JP Morgan boost its price target on the
retailer to one hundred and fifty one dollars and that's
a street high. So JP Morgan sided strength across categories
and potential for sequential improvement in same story sales.

Speaker 3 (00:40):
Like fifty bucks higher from where we are.

Speaker 4 (00:43):
But you know what, I'm digging it because I like
aber Crombie and Fitch. Now I personally shop there and wait,
I'm wait wait wait wait, but.

Speaker 1 (00:51):
Now she said, now, she says, about is unbelievably fashionable.

Speaker 3 (00:55):
She walks through the newsroom.

Speaker 4 (00:57):
We're all just like in awe so kind like now
that you can buy office clothes, dilish clothes before my concept,
my conception or misconception of them could be wrong or right.
Was like casual stuff. But now you can get smart clothes.
I like them and I recommend them from my friends.
I have a date night dress from them.

Speaker 3 (01:19):
Can you believe that?

Speaker 4 (01:20):
You wouldn't have thought that.

Speaker 3 (01:22):
I believe it.

Speaker 4 (01:23):
So the analyst is really bullish on that, and they
maintain an overweight rating. To your point, they increase of
price target. It's the highest among those compiled by Bloomberg.

Speaker 3 (01:31):
Stock is still down thirty four percent year to date though.

Speaker 4 (01:34):
Yeah, so maybe seven percent today though at least okay,
so better than it was.

Speaker 1 (01:41):
Let's talk about the semiconductor space, because chips were definitely.

Speaker 3 (01:44):
An outperformer as a whole.

Speaker 1 (01:46):
The Philadelphia Semiconductor Index easily outperforming the broader market today.

Speaker 4 (01:51):
So ASML is up around four percent and other European
semiconductor equipment socks. To your point, they gained because their
key customer, Samsung want a contract to make a chips
for Tesla, and so this is a sixteen point five
billion dollar deal. It's a crucial win for the underperforming
foundry division. And note that because of the lack of
demand from two key clients Samsung and Intel, ASML has

(02:12):
really dragged over a year over your last year, so
this is a big win for them. And also there's
a USU trade agreement that exempts Tireff on semiconductor equipment. Again,
another boost for the stock. So now it's edging higherber
almost four percent.

Speaker 3 (02:25):
Yeah, a big big boo boost certainly for that.

Speaker 1 (02:28):
And just buy it, just buy it, just buy it,
just do it, just buy it.

Speaker 5 (02:34):
We're talking about Nike shares hire today too.

Speaker 4 (02:37):
Shares up four percent.

Speaker 3 (02:38):
That's the highest since at least.

Speaker 4 (02:40):
February twenty twenty five, if my sins since function is correct.
So shares rose because JP Morgan again upgraded the stock
to overweight. They cited Nike's five pronged multi year recovery plan.
So the analyst there notes that the recovery path will
equate to a positive EPs growth and the high teens
to twenty percent through twenty twenty twenty thirty full year. Wow,

(03:03):
twenty twenty thirty, it's twenty thirty full year. So the
recovery plan includes global inventory alignment, sales growth, accelerating momentum,
et cetera. So now the price target is set to
ninety three from sixty four dollars, so that's also a
big jump, So just do it by jacking.

Speaker 3 (03:20):
You know, it's interesting too.

Speaker 1 (03:21):
I was just looking at the stock, and we know
we've all been talking about this for I feel like
a few years, some of the struggles.

Speaker 3 (03:26):
But it lost thirty percent.

Speaker 1 (03:28):
Last year twenty twenty four, it lost seven percent, and
twenty twenty three and it lost it looks like almost
thirty percent and twenty twenty two, So three consecutive down years.

Speaker 3 (03:36):
It's really been some rough going.

Speaker 4 (03:39):
I feel like because the space has gotten so competitive.
I mean before it was just Adidas or Nike, but
now there's so many other brands. Bluewern Intelligence came out
with a note saying that sponsorship and collaborations of Nike
is helping boost it. I mean, I guess it really
depends on who endorses you.

Speaker 3 (03:53):
And China sales writer always it back to you for
this company.

Speaker 5 (03:56):
I mean what I mean you mentioned that what the
what stock has done over the last few years. That's
why John Donahoe is no longer CEO of Nike, and
now Elliott Hill, who has started back in October and
came back to Nike to try to bring it back
to its sort of days of glory of your I mean.

Speaker 1 (04:15):
It's such a great brand because you think about it
when you think of iconic brands and very clear.

Speaker 5 (04:21):
It's a different world now, yeah, with a leisure but.

Speaker 3 (04:24):
They have the best ads.

Speaker 4 (04:26):
I must say. It always tugs at your heart. It
always like motivates you to be better soldier.

Speaker 3 (04:30):
I know I want to check out the abercrom and fit.

Speaker 5 (04:33):
You should there is Remember there's the this one firm
in Portland, Oregon, Widen and Kennedy that has historically been
retained by Nike to do their ads. And this is
a it's a powerhouse copy front like copy editing and
copywriting and advertising firm.

Speaker 3 (04:53):
Well done right.

Speaker 1 (04:54):
Yeah, they're the ones and that have gone the distance
right in terms of it of things.

Speaker 2 (05:01):
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