Gap, Under Armour fall after Barclays' downgrades amid intense competition
BUZZ-Gap, Under Armour fall after Barclays' downgrades amid intense competition ** Shares of apparel makers Gap GAP.N and Under Armour UAA.N down after brokerage Barclays cuts ratings on stocks
** Barclays says it sees a widening gap in U.S. apparel between brands with pricing power and retailers still relying on discounts to drive demand
** Adds, competition across apparel and footwear remains intense, limiting market share gains and slowing brand recoveries
** Barclays downgrades Gap to 'equal weight' from 'overweight', citing heavier discounting at Old Navy and Banana Republic and concerns that recent profit gains may be harder to sustain
** Cuts PT to $20 from $26, shares down 2% at $21.08 premarket
** Also downgrades rating on Under Armour to 'underweight' from 'equal weight' citing intense competition, weak pricing power and the likelihood of a longer-than-expected turnaround
** Shares down 3% to $5.71 premarket
** However, upgrades Abercrombie & Fitch ANF.N to 'equal weight' from 'underweight' citing lower tariff pressure, improving full-price selling
** Hikes ANF PT to $114 from $78, ANF up about 1% at $119.94 premarket
(Reporting by Shania S Thomas in Bengaluru)
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