Abercrombie & Fitch shares jump 90% since May 2026 but downgraded to Hold on valuation concerns

Abercrombie & Fitch Co. has surged over 90% since May 2026, significantly outperforming the S&P 500. The company has reported 15 consecutive quarters of net sales growth, consistently beaten earnings estimates, and raised its full-year guidance. Management has also repurchased 7% of shares year-to-date, signaling strong confidence and providing downside support. Despite these strong fundamentals and growth initiatives, the stock is downgraded to 'Hold' due to concerns over its current valuation after the recent price run-up.