UPDATE: Credit Suisse Downgrades Abercrombie & Fitch (ANF) to Neutral

(Updated - November 14, 2014 10:54 AM EST)

Credit Suisse downgraded Abercrombie & Fitch (NYSE: ANF) from Outperform to Neutral with a price target of $28.00 (from $53.00). Analyst Christian Buss noted sector pressures.

"We downgrade shares to Neutral given our view that competitive pressures look to be intensifying in the teen apparel sector, delaying earnings power even with a significant cost restructuring and a shift in pricing strategy for core brands," said Buss.

"We increasingly believe the threat of structural declines in mall traffic and the rise of deep value retailers like H&M, Zara, UNIQLO, Forever 21, and Primark will make it challenging for specialty retailers like Abercrombie who do not have the scale, speed of operations, or value perception with consumers to deliver sustained earnings momentum," he added.

For an analyst ratings summary and ratings history on Abercrombie & Fitch click here. For more ratings news on Abercrombie & Fitch click here.

Shares of Abercrombie & Fitch closed at $28.90 yesterday.

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