Top Stocks for 2007

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Abercombie & Fitch

Sector: Retail

Ticker: ANF


Abercrombie has maintained its unique appeal among young American hipsters, not by plastering the country with more Abercrombie stores, but by launching new stores under names such as Hollister, targeted at young teens, and Ruehl, aimed at college graduates starting their first jobs. Lorraine Maikis of Merrill Lynch upgraded Abercrombie's stock to a buy in January. "For 2007, we are forecasting sales growth at Hollister of 22%, driven by very productive square-footage growth of 15%," says Maikis.

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