American Eagle Outfitters (NYSE:AEO) Trading Down 6.9% – What’s Next?

Shares of American Eagle Outfitters, Inc. (NYSE:AEO) dropped 6.9% on Monday . The stock traded as low as $22.84 and last traded at $22.88. Approximately 1,762,084 shares traded hands during trading, a decline of 67% from the average daily volume of 5,325,930 shares. The stock had previously closed at $24.57.

Wall Street Analysts Forecast Growth

AEO has been the subject of several recent research reports. Telsey Advisory Group reiterated a “market perform” rating and issued a $28.00 price objective on shares of American Eagle Outfitters in a research report on Thursday. TD Cowen reaffirmed a “hold” rating on shares of American Eagle Outfitters in a research note on Wednesday, December 3rd. UBS Group increased their price target on shares of American Eagle Outfitters from $31.00 to $35.00 and gave the company a “buy” rating in a research report on Thursday, January 8th. JPMorgan Chase & Co. raised shares of American Eagle Outfitters from an “underweight” rating to a “neutral” rating and raised their price target for the stock from $14.00 to $20.00 in a report on Wednesday, December 3rd. Finally, Citigroup upped their price objective on shares of American Eagle Outfitters from $18.00 to $23.00 and gave the company a “neutral” rating in a research note on Wednesday, December 3rd. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, American Eagle Outfitters currently has a consensus rating of “Hold” and an average price target of $22.45.

American Eagle Outfitters Price Performance

The company has a current ratio of 1.63, a quick ratio of 0.59 and a debt-to-equity ratio of 0.13. The business’s 50 day moving average price is $25.26 and its two-hundred day moving average price is $20.47. The stock has a market cap of $3.82 billion, a P/E ratio of 19.43, a price-to-earnings-growth ratio of 6.43 and a beta of 1.39.

American Eagle Outfitters (NYSE:AEO) last posted its quarterly earnings data on Tuesday, December 2nd. The apparel retailer reported $0.53 earnings per share for the quarter, beating the consensus estimate of $0.43 by $0.10. American Eagle Outfitters had a return on equity of 13.82% and a net margin of 3.90%.The business had revenue of $1.36 billion for the quarter, compared to analysts’ expectations of $1.32 billion. During the same period in the previous year, the firm posted $0.48 EPS. The business’s revenue was up 2.9% on a year-over-year basis. As a group, sell-side analysts expect that American Eagle Outfitters, Inc. will post 1.7 earnings per share for the current fiscal year.

American Eagle Outfitters Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, January 23rd. Shareholders of record on Friday, January 9th were issued a $0.125 dividend. The ex-dividend date was Friday, January 9th. This represents a $0.50 dividend on an annualized basis and a yield of 2.2%. American Eagle Outfitters’s dividend payout ratio is 43.10%.

Insider Activity

In other news, Director Noel Joseph Spiegel sold 1,896 shares of the company’s stock in a transaction dated Wednesday, January 21st. The shares were sold at an average price of $25.66, for a total value of $48,651.36. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Cary D. Mcmillan sold 1,896 shares of the stock in a transaction dated Wednesday, January 14th. The stock was sold at an average price of $26.21, for a total transaction of $49,694.16. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 246,839 shares of company stock worth $6,004,388. Corporate insiders own 8.70% of the company’s stock.

Institutional Trading of American Eagle Outfitters

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Strategic Investment Solutions Inc. IL increased its position in American Eagle Outfitters by 50.0% during the 3rd quarter. Strategic Investment Solutions Inc. IL now owns 1,500 shares of the apparel retailer’s stock valued at $26,000 after buying an additional 500 shares in the last quarter. Kemnay Advisory Services Inc. bought a new position in shares of American Eagle Outfitters during the fourth quarter valued at $31,000. Aster Capital Management DIFC Ltd purchased a new position in shares of American Eagle Outfitters in the 4th quarter worth about $32,000. Raymond James Financial Inc. bought a new position in American Eagle Outfitters in the 2nd quarter worth about $35,000. Finally, Strs Ohio purchased a new stake in American Eagle Outfitters during the 3rd quarter valued at about $36,000. Hedge funds and other institutional investors own 97.33% of the company’s stock.

American Eagle Outfitters Company Profile

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.