Abercrombie & Fitch vs Aritzia Which Performs Better?

Abercrombie & Fitch and Aritzia are two popular retail companies that specialize in trendy apparel and accessories. While Abercrombie & Fitch has a long-standing reputation in the market, Aritzia has gained popularity for its unique designs and commitment to sustainability. Both companies have seen fluctuations in their stock prices in recent years, with Abercrombie & Fitch experiencing more volatility due to changes in consumer preferences. Investors should carefully consider the strengths and weaknesses of each company before making investment decisions.

Abercrombie & Fitch or Aritzia?

When comparing Abercrombie & Fitch and Aritzia, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Abercrombie & Fitch and Aritzia.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Abercrombie & Fitch has a dividend yield of -%, while Aritzia has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Abercrombie & Fitch reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Aritzia reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Abercrombie & Fitch P/E ratio at 13.52 and Aritzia's P/E ratio at 55.69. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Abercrombie & Fitch P/B ratio is 5.83 while Aritzia's P/B ratio is 6.46.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Abercrombie & Fitch has seen a 5-year revenue growth of 0.60%, while Aritzia's is 2.12%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Abercrombie & Fitch's ROE at 47.06% and Aritzia's ROE at 12.32%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $137.81 for Abercrombie & Fitch and $35.23 for Aritzia. Over the past year, Abercrombie & Fitch's prices ranged from $82.60 to $196.99, with a yearly change of 138.49%. Aritzia's prices fluctuated between $26.04 and $38.16, with a yearly change of 46.54%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.