Zacks Research Has Strong Forecast for AEO FY2026 Earnings

American Eagle Outfitters, Inc. (NYSE:AEO) – Equities research analysts at Zacks Research increased their FY2026 earnings estimates for American Eagle Outfitters in a research note issued on Friday, February 6th. Zacks Research analyst Team now forecasts that the apparel retailer will post earnings per share of $1.38 for the year, up from their previous estimate of $1.33. Zacks Research currently has a “Strong-Buy” rating on the stock. The consensus estimate for American Eagle Outfitters’ current full-year earnings is $1.70 per share. Zacks Research also issued estimates for American Eagle Outfitters’ Q4 2026 earnings at $0.69 EPS, Q3 2027 earnings at $0.48 EPS, Q4 2027 earnings at $0.72 EPS, FY2027 earnings at $1.63 EPS, Q3 2028 earnings at $0.50 EPS, Q4 2028 earnings at $0.74 EPS and FY2028 earnings at $1.70 EPS.

American Eagle Outfitters (NYSE:AEO) last released its earnings results on Tuesday, December 2nd. The apparel retailer reported $0.53 EPS for the quarter, beating the consensus estimate of $0.43 by $0.10. The company had revenue of $1.36 billion for the quarter, compared to analyst estimates of $1.32 billion. American Eagle Outfitters had a net margin of 3.90% and a return on equity of 13.82%. The firm’s quarterly revenue was up 2.9% compared to the same quarter last year. During the same quarter last year, the firm earned $0.48 EPS.

Several other equities research analysts have also recently weighed in on AEO. Barclays increased their target price on American Eagle Outfitters from $20.00 to $24.00 and gave the company an “underweight” rating in a report on Tuesday, January 6th. JPMorgan Chase & Co. upgraded American Eagle Outfitters from an “underweight” rating to a “neutral” rating and boosted their price objective for the company from $14.00 to $20.00 in a research report on Wednesday, December 3rd. TD Cowen restated a “hold” rating on shares of American Eagle Outfitters in a report on Wednesday, December 3rd. UBS Group lifted their target price on shares of American Eagle Outfitters from $31.00 to $35.00 and gave the stock a “buy” rating in a research note on Thursday, January 8th. Finally, Morgan Stanley set a $23.00 price target on shares of American Eagle Outfitters in a research report on Wednesday, December 3rd. One research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, eleven have issued a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $22.45.

American Eagle Outfitters Stock Down 0.8%

Shares of NYSE:AEO opened at $23.57 on Monday. The stock has a market capitalization of $4.00 billion, a P/E ratio of 20.32, a price-to-earnings-growth ratio of 6.22 and a beta of 1.42. The stock’s 50-day moving average price is $25.37 and its 200-day moving average price is $19.25. The company has a current ratio of 1.63, a quick ratio of 0.59 and a debt-to-equity ratio of 0.13. American Eagle Outfitters has a 12-month low of $9.27 and a 12-month high of $28.46.

American Eagle Outfitters Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, January 23rd. Shareholders of record on Friday, January 9th were given a dividend of $0.125 per share. This represents a $0.50 dividend on an annualized basis and a yield of 2.1%. The ex-dividend date of this dividend was Friday, January 9th. American Eagle Outfitters’s payout ratio is presently 43.10%.

Insiders Place Their Bets

In related news, insider Jennifer M. Foyle sold 243,047 shares of the business’s stock in a transaction dated Friday, December 5th. The shares were sold at an average price of $24.30, for a total transaction of $5,906,042.10. Following the transaction, the insider owned 191,751 shares in the company, valued at $4,659,549.30. The trade was a 55.90% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Noel Joseph Spiegel sold 1,896 shares of the stock in a transaction dated Wednesday, January 21st. The stock was sold at an average price of $25.66, for a total transaction of $48,651.36. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 246,839 shares of company stock worth $6,004,388. 8.70% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Strategic Investment Solutions Inc. IL lifted its stake in shares of American Eagle Outfitters by 50.0% in the 3rd quarter. Strategic Investment Solutions Inc. IL now owns 1,500 shares of the apparel retailer’s stock valued at $26,000 after purchasing an additional 500 shares during the period. Raymond James Financial Inc. purchased a new position in American Eagle Outfitters during the second quarter valued at $35,000. Strs Ohio purchased a new position in American Eagle Outfitters during the third quarter valued at $36,000. Federated Hermes Inc. boosted its holdings in shares of American Eagle Outfitters by 151.0% during the 2nd quarter. Federated Hermes Inc. now owns 3,848 shares of the apparel retailer’s stock valued at $37,000 after buying an additional 2,315 shares in the last quarter. Finally, McIlrath & Eck LLC purchased a new stake in shares of American Eagle Outfitters in the 3rd quarter worth about $39,000. Hedge funds and other institutional investors own 97.33% of the company’s stock.

About American Eagle Outfitters

American Eagle Outfitters, Inc (NYSE: AEO) is a leading American specialty retailer offering apparel, accessories and personal care products for men and women. The company’s flagship brand, American Eagle, focuses on casualwear including denim, tops, outerwear and accessories targeted primarily at teens and young adults. In addition to its core apparel lines, the company operates the Aerie brand of intimates, loungewear and swimwear, which has gained recognition for its body-positive marketing and inclusive sizing.

American Eagle Outfitters conducts business through a combination of over 900 brick-and-mortar stores in North America and Greater China, complemented by a growing e-commerce platform that serves customers around the globe.