The stock of American Eagle Outfitters Inc. (NYSE:AEO) increased by $0.35 on Monday to $16.16, up 2.21 percent. The last five days have seen an average of 3,896,612 shares of common stock traded. 8 times new highs were reached in the current year, with a gain of $2.18. The average number of shares traded over the last 20 days was 4,003,888, while the average volume over the last 50 days totaled 4,036,243.
AEO stock appreciated 15.68% since last month. On 07/31/23, the company’s shares reached a one-month low of $13.91. The stock touched a high of $17.09 on 02/02/23, after rallying from a low of $9.46 in 52 weeks. The price of AEO stock has risen by 15.76% or $2.18 this year, reaching a new high 8 times. Still, the stock price is down -5.44% from the 52-week high.
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Insider Transactions
AEO stock investors should be aware that American Eagle Outfitters Inc. (AEO) stock had its last reported insider trading activity 140 days ago on Apr 10. On Apr 10, EVP, Chief Operations Officer Rempell Michael R sold 2,967 shares at $13.56 each. This transaction resulted in the insider making $40,233. On Mar 31, Rempell Michael R sold 5,761 shares at a price of US$13.33. After the transaction, the insider now owns 172,003 shares. EVP, Chief Operations Officer Rempell Michael R had earlier sold 12,510 shares on Mar 27 for $13.13 a share. The transaction was completed for $164,256.
Valuation Metrics
American Eagle Outfitters Inc. (AEO) has a trailing price-to-earnings (P/E) ratio of 29.49. Beta for the stock is 1.50. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 0.64, the price-to-book (PB) ratio of 1.94, and the price-to-cash flow ratio of 12.42.
Company paid $0.10 per share in dividends, remained unchanged from $0.10 last year. A $0.08 dividend decrease was reported on Tuesday February 28 2023.
Financial Health
For the three months ended April 29, American Eagle Outfitters Inc.’s quick ratio was 0.70, while its current ratio was 1.60, indicating its inability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending April 29 is 0.02, and the total debt to equity ratio is 0.02. As far as profitability goes, gross margin for the trailing twelve months is 35.30% percent. American Eagle Outfitters Inc.’s EBITDA margin for the year ended April 29 was 9.75%, whereas its operating margin stood at 4.50% for the same period. Based on annual data, it had gross profit of $1.75 billion and revenue of $4.99 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. AEO’s return on assets (ROA) during the last 12 months has been 3.20%. There was a 12.00% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 7.40%.
Earnings Surprise
According to American Eagle Outfitters Inc.’s quarterly financial report for the quarter that ended April 29. A lower net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $1.08 billion, while revenues rose by 2.4% to $1.5 billion. It was predicted that American Eagle Outfitters Inc.’s quarterly earnings would be $0.17, but it ended up being $0.17. EBITDA was $80.76 million for the quarter. At the end of American Eagle Outfitters Inc.’s most recent quarter ended April 29, its liabilities totaled 1.75 billion, while its total debt was $1.34 billion. Equity owned by shareholders amounts to $197.45 million.
Technical Picture
Here’s a quick look at American Eagle Outfitters Inc.’s (AEO) price momentum from a technical perspective. As of 25 August, the RSI 9-day stood at 69.42%, suggesting the stock is Neutral, with a 27.74% historical volatility rate.
The stochastic %K and %D were 71.84% and 68.68% respectively, while the average true range (ATR) was 0.49. Based on the 14-day stochastic reading of 84.62%, the RSI (14) reading is 70.31%. On the 9-day MACD Oscillator, the stock is at 0.12, and the 14-day reading is at 0.14.
Analyst Ratings
In its most recent analyst report, Barclays raised its rating on American Eagle Outfitters Inc. (NYSE: AEO) to an Overweight. Prior to this, analysts firm rated the stock as an Equal weight. Analysts have assigned American Eagle Outfitters Inc. (AEO) an Hold rating. AEO is a stock that is recommended for selling by 1 brokerage firm, while 8 companies recommend holding. The stock is underweighted by 1 analyst. Among the analysts who rate the stock, 1 rate it overweight and 2 others recommend it as a buy.
What is AEO’s price target for the next 12 months?
The current consensus forecast for the stock is between $10.50 and $19.00, with a median target price of $13.50. In analyzing these forecasts, the average price target given by analysts for American Eagle Outfitters Inc. (AEO) is $14.38.
