Designs and sells apparel, accessories, and personal care products. Operates retail stores under the American Eagle and Aerie brands. Now — the numbers.
This is an established company with proven profits.
The gap is $1.5B. In times of high interest rates, a gap like that can squeeze a company.
The market pays 12.7× for every dollar of annual profit — cheap, which is either an opportunity or a warning.
Against companies in its own sector, it looks cheaper than 67% of them.
Analysts' average target sits 35% above today's price.
Buys outnumber sells, but taken together the trades don’t add up to a strong signal of confidence.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Clearly above the class average — a step short of the very top.
A solid grade overall — yet the debt outweighs the cash. The strength here comes from earnings power.
Clearly above the class average — a step short of the very top.
This grade is a blend: the profit side is strong, the sales tempo slow.
Clearly below the class average.
Price Momentum: The stock has lagged the market in recent months; investor interest is weak right now.
The stock trades 49% below its peak. The market has trimmed its expectations for the company.
It pays out $0.50 per share each year — regular cash for whoever holds the stock.
Over the last 4 years, sales grew only 2% a year on average — the report card’s higher growth grade leans on profit power instead.
Buyers haven’t stepped back in yet; the price hasn’t found its footing. Report-card grade: 44/100. For a turnaround signal, the stock first needs to close the gap with the market.
No clear buy-side message is coming from the executive floor.
On our five-subject report card, AEO sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: AEO is an established business that has proven its profits for years. The real debate here isn’t the price — it’s whether the company can keep up this pace.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Not covered, because the filings we hold do not carry it: the revenue breakdown.