Zacks Research Brokers Increase Earnings Estimates for AEO

American Eagle Outfitters, Inc. (NYSE:AEO) – Zacks Research raised their FY2027 earnings estimates for American Eagle Outfitters in a report released on Wednesday, September 23rd. Zacks Research analyst Team now expects that the apparel retailer will earn $2.24 per share for the year, up from their previous estimate of $1.76. Zacks Research currently has a “Strong-Buy” rating on the stock. The consensus estimate for American Eagle Outfitters’ current full-year earnings is $2.17 per share. Zacks Research also issued estimates for American Eagle Outfitters’ Q2 2029 earnings at $0.61 EPS.

A number of other brokerages have also commented on AEO. Weiss Ratings reaffirmed a “hold (c)” rating on shares of American Eagle Outfitters in a research note on Thursday, August 27th. JPMorgan Chase & Co. boosted their price objective on shares of American Eagle Outfitters from $19.00 to $21.00 and gave the company a “neutral” rating in a research report on Tuesday, August 18th. Morgan Stanley dropped their target price on shares of American Eagle Outfitters from $18.00 to $17.00 and set an “equal weight” rating for the company in a research report on Thursday, September 10th. Citigroup cut their target price on shares of American Eagle Outfitters from $24.00 to $18.00 and set a “neutral” rating on the stock in a research note on Monday, June 1st. Finally, Telsey Advisory Group reduced their price target on shares of American Eagle Outfitters from $20.00 to $18.00 and set a “market perform” rating on the stock in a research report on Thursday, September 10th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, ten have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock has an average rating of “Hold” and an average price target of $19.36.

American Eagle Outfitters Price Performance

Shares of AEO stock opened at $16.11 on Friday. The company has a debt-to-equity ratio of 0.03, a quick ratio of 0.62 and a current ratio of 1.59. American Eagle Outfitters has a fifty-two week low of $14.06 and a fifty-two week high of $28.46. The firm has a market cap of $2.70 billion, a P/E ratio of 8.22, a P/E/G ratio of 3.75 and a beta of 1.33. The business’s 50 day moving average price is $16.71 and its 200-day moving average price is $17.04.

American Eagle Outfitters (NYSE:AEO) last announced its quarterly earnings results on Wednesday, September 9th. The apparel retailer reported $0.79 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.22 by $0.57. American Eagle Outfitters had a return on equity of 23.63% and a net margin of 5.91%.The company had revenue of $1.38 billion for the quarter, compared to the consensus estimate of $1.37 billion. During the same quarter in the previous year, the business earned $0.45 EPS. American Eagle Outfitters’s revenue was up 7.5% compared to the same quarter last year.

American Eagle Outfitters Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 28th. Shareholders of record on Friday, October 9th will be issued a $0.1250 dividend. This represents a $0.50 dividend on an annualized basis and a yield of 3.1%. The ex-dividend date is Friday, October 9th. American Eagle Outfitters’s dividend payout ratio is 25.51%.

Insider Buying and Selling at American Eagle Outfitters

In related news, Director Noel Spiegel sold 2,892 shares of the company’s stock in a transaction that occurred on Tuesday, July 7th. The stock was sold at an average price of $16.78, for a total value of $48,527.76. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Director David M. Sable sold 5,779 shares of the company’s stock in a transaction that occurred on Friday, July 17th. The stock was sold at an average price of $17.23, for a total value of $99,572.17. Following the completion of the sale, the director owned 53,481 shares in the company, valued at $921,477.63. The trade was a 9.75% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 11,563 shares of company stock valued at $196,599. Corporate insiders own 8.95% of the company’s stock.

Institutional Investors Weigh In On American Eagle Outfitters

Several hedge funds have recently added to or reduced their stakes in the stock. Plato Investment Management Ltd purchased a new position in shares of American Eagle Outfitters in the 2nd quarter worth about $25,000. Allworth Financial LP bought a new stake in American Eagle Outfitters during the 2nd quarter valued at about $36,000. EverSource Wealth Advisors LLC increased its stake in American Eagle Outfitters by 31.9% during the 1st quarter. EverSource Wealth Advisors LLC now owns 2,870 shares of the apparel retailer’s stock valued at $48,000 after purchasing an additional 694 shares in the last quarter. Quantbot Technologies LP purchased a new position in American Eagle Outfitters in the second quarter worth about $57,000. Finally, Parkside Financial Bank & Trust raised its holdings in American Eagle Outfitters by 772.7% in the second quarter. Parkside Financial Bank & Trust now owns 3,997 shares of the apparel retailer’s stock worth $69,000 after buying an additional 3,539 shares during the last quarter. 97.33% of the stock is owned by institutional investors.

More American Eagle Outfitters News

Here are the key news stories impacting American Eagle Outfitters this week:

• Positive Sentiment: American Eagle’s denim momentum is reportedly improving as shoppers respond to new fits. The company is also adjusting its product assortment and inventory strategy to support broader category growth, which could help revive women’s sales. Can American Eagle’s New Denim Fits Help Revive Women’s Sales?
• Positive Sentiment: Zacks identifies AEO as a top-ranked value stock, potentially attracting investors given its approximately 8 times price-to-earnings ratio and depressed share price relative to its 52-week range. American Eagle Outfitters Is a Top-Ranked Value Stock
• Neutral Sentiment: Zacks Research maintained a “Strong-Buy” rating and raised its fiscal 2029 EPS forecast to $2.14 from $2.01, indicating some confidence in the company’s longer-term earnings potential.
• Negative Sentiment: Zacks lowered EPS estimates across several periods: Q3 2027 to $0.49 from $0.55, Q4 2027 to $0.82 from $0.86, Q1 2028 to $0.11 from $0.12, Q3 2028 to $0.55 from $0.58, Q4 2028 to $0.89 from $0.92, and fiscal 2028 to $1.88 from $1.90. It also cut Q1 2029 to $0.09 from $0.14. The breadth of these reductions points to softer expected near-term earnings momentum and may pressure the shares despite the bullish rating.

About American Eagle Outfitters

American Eagle Outfitters, Inc (NYSE:AEO) is a specialty retailer offering casual apparel, accessories and footwear for young women and men. Its product assortment includes jeans, tops, dresses, intimates, loungewear and activewear, with merchandise sold through company-operated stores and digital channels.

The company’s principal brands include American Eagle, which focuses on casual lifestyle clothing and denim, and Aerie, which offers intimates, activewear and loungewear. Its brand portfolio has also included OFFLINE by Aerie, a performance and wellness-oriented line, and Todd Snyder, a menswear brand known for elevated casual clothing and tailoring.

Founded in 1977, American Eagle Outfitters is headquartered in Pittsburgh, Pennsylvania.