Aeropostale Sinks as Teens Flee to Fast Fashion Retailers

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Aeropostale Sinks as Teens Flee to Fast Fashion Retailers

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Aeropostale Sinks as Teens Flee to Fast Fashion Retailers

by TheStreet.com Videos 1:04 mins

Aeropostale Sinks as Teens Flee to Fast Fashion Retailers

by TheStreet.com Videos 1:04 mins

Teen apparel retailer Aeropostale is setting trends, but not the kind it would like. The company guided for a net loss of 55 cents to 61 cents a share in its second quarter, wider than Wall Street's estimates of a 50-cents-a-share net loss. Wider losses and revenue declines are trends likely to continue. The retailer has been suffering in recent quarters, losing out to companies like Forever 21 and H&M which can churn out on-trend fashions faster and at cheaper cost. However, Aeropostale isn't alone in its struggles. Urban Outfitters recently reported a drop in profits, The Gap posted a 22% decline in net income and Abercrombie & Fitch has suffered quarter after quarter of plunging sales. Keris Lahiff reports from Wall Street.

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