Party Like It's 1999: '90s Fashion Is Making A Comeback — These Stocks Are Benefiting

Author: Aaron Bry | May 31, 2024 09:32am

Time to break out the windbreakers and baggy jeans; ‘90s fashion is coming back.

Rising interest in 1990s and early 2000s fashion on social media apps like Instagram and TikTok have helped fuel the comeback of a look that had appeared to die off. Search terms like ‘Y2K fashion' have trended higher throughout the last five years, according to Alphabet's (NASDAQ:GOOG) (NASDAQ:GOOG) Google Trends.

And so far, some clear winners of the trend have emerged. Abercrombie & Fitch Co (NYSE:ANF), a mall staple and one of the leaders of fashion in the 1990s and early 2000s, has surged back through an updated catalog and trendy celebrity endorsements.

The company reported earnings earlier this week, reporting stronger revenue numbers than ever before, sending its stock to a new all-time high. Following suit, American Eagle Outfitters (NYSE:AEO) reported growing sales, although the growth was slightly below analysts' expectations.

Other companies cashing in on the changing trends in fashion include Levi Strauss & Co (NYSE:LEVI), up more than 70% in the last year as well as Steve Madden LTD (NASDAQ:SHOO) which is up more than 30% in the last year.

Other Potential Plays: Ryan Craver, the founder of Commerce Canal and an expert in the e-commerce space, joined Benzinga's PreMarket Prep last week to discuss the trends in retail stocks. In the interview, Craver pointed to Winmark Corp (NADSAQ:WINA), which owns second-hand retailers such as Plato's Closet and Play It Again Sports. Winmark could benefit from a rise in thrift shopping, Craver argues.

Click here to watch the full interview for more retail trade ideas.