American Eagle Outfitters(US:AEO) ZACKS·2025-11-25 16:01Core Viewpoint - The market anticipates a year-over-year decline in earnings for American Eagle Outfitters (AEO) despite an increase in revenues when it reports its results for the quarter ended October 2025 [1] Earnings Expectations - The consensus EPS estimate for the upcoming report is $0.43 per share, reflecting a year-over-year decrease of 10.4% [3] - Expected revenues are projected to be $1.32 billion, which is an increase of 2.3% compared to the same quarter last year [3] Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 0.36%, indicating a reassessment by analysts [4] - The Most Accurate Estimate for American Eagle is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +1.55% [12] Earnings Surprise Prediction - A positive Earnings ESP is a strong indicator of a potential earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [10] - American Eagle currently holds a Zacks Rank of 2, suggesting a likelihood of beating the consensus EPS estimate [12] Historical Performance - In the last reported quarter, American Eagle exceeded the expected earnings of $0.20 per share by delivering $0.45, resulting in a surprise of +125.00% [13] - Over the past four quarters, the company has beaten consensus EPS estimates three times [14] Market Reaction Considerations - An earnings beat or miss may not solely dictate stock price movements, as other factors can influence investor sentiment [15] - It is advisable to consider a company's Earnings ESP and Zacks Rank prior to quarterly releases to enhance investment success [16]