American Eagle Outfitters (NYSE:AEO) Reaches New 1-Year Low – Time to Sell?

Shares of American Eagle Outfitters, Inc. (NYSE:AEO) hit a new 52-week low during trading on Saturday . The stock traded as low as $9.27 and last traded at $9.32, with a volume of 9811360 shares trading hands. The stock had previously closed at $10.07.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on the stock. Cfra Research downgraded shares of American Eagle Outfitters from a “moderate buy” rating to a “hold” rating in a report on Friday, June 6th. Morgan Stanley set a $10.00 price objective on shares of American Eagle Outfitters and gave the stock an “equal weight” rating in a report on Monday, June 2nd. Bank of America lowered their price target on shares of American Eagle Outfitters from $18.00 to $13.00 and set a “neutral” rating on the stock in a report on Friday, March 14th. Wall Street Zen downgraded shares of American Eagle Outfitters from a “hold” rating to a “sell” rating in a report on Saturday, June 7th. Finally, Telsey Advisory Group lifted their price objective on shares of American Eagle Outfitters to $12.00 and gave the company a “hold” rating in a research report on Friday, May 30th. Two equities research analysts have rated the stock with a sell rating, ten have given a hold rating and one has issued a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $14.70.

American Eagle Outfitters Stock Down 7.5%

The firm’s 50 day simple moving average is $10.90 and its 200 day simple moving average is $13.53. The company has a market capitalization of $1.61 billion, a PE ratio of 7.96, a price-to-earnings-growth ratio of 0.82 and a beta of 1.51.

American Eagle Outfitters (NYSE:AEO) last posted its quarterly earnings data on Thursday, May 29th. The apparel retailer reported ($0.29) EPS for the quarter, missing the consensus estimate of ($0.25) by ($0.04). The firm had revenue of $1.09 billion for the quarter, compared to analysts’ expectations of $1.08 billion. American Eagle Outfitters had a return on equity of 20.75% and a net margin of 4.28%. The firm’s quarterly revenue was down 4.7% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.34 earnings per share. As a group, sell-side analysts predict that American Eagle Outfitters, Inc. will post 1.7 EPS for the current fiscal year.

American Eagle Outfitters Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, July 25th. Stockholders of record on Friday, July 11th will be paid a dividend of $0.125 per share. This represents a $0.50 dividend on an annualized basis and a dividend yield of 5.37%. The ex-dividend date is Friday, July 11th. American Eagle Outfitters’s dividend payout ratio is currently 51.02%.

Institutional Trading of American Eagle Outfitters

A number of hedge funds have recently added to or reduced their stakes in the business. Rhumbline Advisers lifted its stake in American Eagle Outfitters by 0.7% in the first quarter. Rhumbline Advisers now owns 528,510 shares of the apparel retailer’s stock worth $6,141,000 after acquiring an additional 3,631 shares during the period. Intech Investment Management LLC increased its holdings in American Eagle Outfitters by 95.9% in the 1st quarter. Intech Investment Management LLC now owns 421,877 shares of the apparel retailer’s stock worth $4,902,000 after buying an additional 206,541 shares during the period. Empowered Funds LLC increased its holdings in American Eagle Outfitters by 9.6% in the 1st quarter. Empowered Funds LLC now owns 15,937 shares of the apparel retailer’s stock worth $185,000 after buying an additional 1,398 shares during the period. Caxton Associates LLP acquired a new position in American Eagle Outfitters in the 1st quarter worth approximately $857,000. Finally, Jones Financial Companies Lllp boosted its position in American Eagle Outfitters by 1,238.2% in the 1st quarter. Jones Financial Companies Lllp now owns 52,551 shares of the apparel retailer’s stock worth $611,000 after purchasing an additional 48,624 shares in the last quarter. 97.33% of the stock is owned by hedge funds and other institutional investors.

American Eagle Outfitters Company Profile

American Eagle Outfitters, Inc operates as a multi-brand specialty retailer in the United States and internationally. The company provides jeans, apparel and accessories, and personal care products for women and men under the American Eagle brand; and intimates, apparel, activewear, and swim collections under the Aerie and OFFLINE by Aerie brands.