Company Performance - American Eagle Outfitters (AEO) closed at $15.23, down 3.91% from the previous day's closing price, underperforming the S&P 500 which gained 0.4% [1] - The stock has declined 20.23% over the past month, while the Retail-Wholesale sector decreased by 3.61% and the S&P 500 increased by 1.02% [1] Upcoming Earnings - The company is expected to report earnings of $0.42 per share, indicating a year-over-year decline of 12.5%, with projected revenue of $1.32 billion, reflecting a 2.19% increase from the same quarter last year [2] Annual Estimates - For the annual period, earnings are anticipated to be $1.11 per share and revenue at $5.29 billion, representing declines of 36.21% and 0.7% respectively from the previous year [3] Analyst Sentiment - Recent adjustments to analyst estimates for American Eagle Outfitters may indicate shifting business dynamics, with positive changes reflecting analyst optimism regarding the company's profitability [3] Zacks Rank and Performance - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently ranks American Eagle Outfitters at 2 (Buy), with an average annual return of +25% for 1 stocks since 1988 [5] - Over the past month, the Zacks Consensus EPS estimate has increased by 8.32% [5] Valuation Metrics - American Eagle Outfitters has a Forward P/E ratio of 14.28, which is lower than the industry average Forward P/E of 17.6 [6] - The Retail - Apparel and Shoes industry, part of the Retail-Wholesale sector, holds a Zacks Industry Rank of 93, placing it in the top 38% of over 250 industries [6]
American Eagle Outfitters (AEO) Stock Drops Despite Market Gains: Important Facts to Note