American Eagle Outfitters (AEO) Advances While Market Declines: Some Information for Investors

American Eagle Outfitters (AEO) ended the recent trading session at $13.90, demonstrating a +0.94% swing from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily loss of 0.5%. Meanwhile, the Dow experienced a rise of 0.08%, and the technology-dominated Nasdaq saw a decrease of 1.21%.Heading into today, shares of the teen clothing retailer had lost 20.36% over the past month, lagging the Retail-Wholesale sector's gain of 1.04% and the S&P 500's loss of 0.47% in that time.The investment community will be paying close attention to the earnings performance of American Eagle Outfitters in its upcoming release. The company is slated to reveal its earnings on March 12, 2025. The company's earnings per share (EPS) are projected to be $0.50, reflecting a 18.03% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.61 billion, indicating a 3.95% decrease compared to the same quarter of the previous 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. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.35% decrease. As of now, American Eagle Outfitters holds a Zacks Rank of #3 (Hold).Looking at valuation, American Eagle Outfitters is presently trading at a Forward P/E ratio of 7.64. Its industry sports an average Forward P/E of 14.77, so one might conclude that American Eagle Outfitters is trading at a discount comparatively.It is also worth noting that AEO currently has a PEG ratio of 0.82. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. AEO's industry had an average PEG ratio of 1.09 as of yesterday's close.The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 74, putting it in the top 30% of all 250+ industries.The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.Just Released: Zacks Top 10 Stocks for 2025Hurry – you can still get in early on our 10 top tickers for 2025. Handpicked by Zacks Director of Research Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2025. You can still be among the first to see these just-released stocks with enormous potential. See New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Eagle Outfitters, Inc. (AEO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks