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American Eagle Outfitters (AEO) Gains As Market Dips: What You Should Know
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In the latest market close, American Eagle Outfitters (AEO - Free Report) reached $22.38, with a +0.18% movement compared to the previous day. The stock's change was more than the S&P 500's daily loss of 0.88%. At the same time, the Dow added 0.56%, and the tech-heavy Nasdaq lost 2.05%.
The teen clothing retailer's shares have seen a decrease of 13.68% over the last month, not keeping up with the Retail-Wholesale sector's loss of 2.7% and the S&P 500's loss of 2.57%.
The investment community will be closely monitoring the performance of American Eagle Outfitters in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.26, reflecting a 52.94% increase from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $1.14 billion, up 5.54% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.71 per share and a revenue of $5.43 billion, signifying shifts of +12.5% and +3.29%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for American Eagle Outfitters. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. American Eagle Outfitters is currently sporting a Zacks Rank of #1 (Strong Buy).
In terms of valuation, American Eagle Outfitters is currently trading at a Forward P/E ratio of 13.04. This valuation marks a discount compared to its industry's average Forward P/E of 14.52.
Also, we should mention that AEO has a PEG ratio of 1.04. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Retail - Apparel and Shoes industry held an average PEG ratio of 1.24.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 177, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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American Eagle Outfitters (AEO) Gains As Market Dips: What You Should Know
In the latest market close, American Eagle Outfitters (AEO - Free Report) reached $22.38, with a +0.18% movement compared to the previous day. The stock's change was more than the S&P 500's daily loss of 0.88%. At the same time, the Dow added 0.56%, and the tech-heavy Nasdaq lost 2.05%.
The teen clothing retailer's shares have seen a decrease of 13.68% over the last month, not keeping up with the Retail-Wholesale sector's loss of 2.7% and the S&P 500's loss of 2.57%.
The investment community will be closely monitoring the performance of American Eagle Outfitters in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.26, reflecting a 52.94% increase from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $1.14 billion, up 5.54% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.71 per share and a revenue of $5.43 billion, signifying shifts of +12.5% and +3.29%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for American Eagle Outfitters. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. American Eagle Outfitters is currently sporting a Zacks Rank of #1 (Strong Buy).
In terms of valuation, American Eagle Outfitters is currently trading at a Forward P/E ratio of 13.04. This valuation marks a discount compared to its industry's average Forward P/E of 14.52.
Also, we should mention that AEO has a PEG ratio of 1.04. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Retail - Apparel and Shoes industry held an average PEG ratio of 1.24.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 177, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.