Core Viewpoint - American Eagle's partnership with Sydney Sweeney has been its most successful advertising campaign to date, contributing to better-than-expected fiscal second-quarter earnings and significant stock price increase [1][2]. Financial Performance - The company reported a net income of $77.6 million, or 45 cents per share, compared to $77.3 million, or 39 cents per share, a year earlier [4]. - Sales for the quarter were $1.28 billion, slightly down from $1.29 billion a year ago [5]. - American Eagle expects comparable sales to be up in the low single-digit range for the current quarter, better than the anticipated 0.9% increase [5]. Marketing Campaigns - The marketing campaigns featuring Sydney Sweeney and Travis Kelce have led to new customer acquisition, with 700,000 new customers gained and positive traffic across channels [8][10]. - The Sweeney campaign has resulted in sellouts of key products, including the Sydney Jacket and Sydney Jean, which sold out in one day [9]. - The campaign has also driven double-digit traffic growth and increased customer engagement [9]. Future Outlook - The company has re-issued its full-year guidance, expecting comparable sales to be approximately flat, which is better than the previously anticipated 0.2% decline [3]. - American Eagle expects full-year operating income to be between $255 million and $265 million, down from a previous range of $360 million to $375 million [4]. Competitive Landscape - American Eagle faces stiff competition from brands like Abercrombie & Fitch, Gap, and Levi's, each launching their own marketing campaigns [11]. - The company is working to reduce reliance on China for manufacturing, aiming for under 10% this year, while also facing challenges from tariffs affecting its operations in Vietnam and India [12].