Lazard Asset Management LLC Acquires 1,151,091 Shares of American Eagle Outfitters, Inc. $AEO

Key Points

• Lazard Asset Management increased its American Eagle Outfitters stake by 794.3% in the first quarter, acquiring 1.15 million additional shares and ending with 1.30 million shares worth approximately $21.6 million.
• Institutional investors own 97.33% of AEO, with several major firms—including Marshall Wace and Arrowstreet Capital—also significantly increasing their positions or initiating new ones.
• American Eagle beat first-quarter earnings and revenue expectations, but analysts maintain a consensus “Hold” rating, with an average price target of $19.91 versus the reported share price of $18.15.

Lazard Asset Management LLC lifted its holdings in shares of American Eagle Outfitters, Inc. (NYSE:AEO - Free Report) by 794.3% during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 1,296,011 shares of the apparel retailer's stock after purchasing an additional 1,151,091 shares during the quarter. Lazard Asset Management LLC owned 0.77% of American Eagle Outfitters worth $21,643,000 at the end of the most recent quarter.

Several other institutional investors have also modified their holdings of AEO. Marshall Wace LLP increased its stake in American Eagle Outfitters by 920.6% during the 3rd quarter. Marshall Wace LLP now owns 5,497,720 shares of the apparel retailer's stock worth $94,066,000 after purchasing an additional 4,959,039 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its holdings in American Eagle Outfitters by 162.9% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 6,336,392 shares of the apparel retailer's stock worth $105,818,000 after buying an additional 3,926,230 shares during the period. Balyasny Asset Management L.P. bought a new position in American Eagle Outfitters in the fourth quarter valued at approximately $40,954,000. Renaissance Technologies LLC bought a new position in American Eagle Outfitters in the first quarter valued at approximately $16,223,000. Finally, M&T Bank Corp acquired a new position in shares of American Eagle Outfitters in the fourth quarter valued at approximately $21,413,000. Institutional investors own 97.33% of the company's stock.

American Eagle Outfitters Price Performance

Shares of AEO opened at $18.15 on Wednesday. The stock has a market capitalization of $3.04 billion, a P/E ratio of 11.20, a P/E/G ratio of 3.88 and a beta of 1.31. American Eagle Outfitters, Inc. has a twelve month low of $10.29 and a twelve month high of $28.46. The company has a 50 day moving average of $17.17 and a 200-day moving average of $19.32. The company has a quick ratio of 0.53, a current ratio of 1.55 and a debt-to-equity ratio of 0.05.

American Eagle Outfitters (NYSE:AEO - Get Free Report) last posted its quarterly earnings data on Thursday, May 28th. The apparel retailer reported $0.14 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.11 by $0.03. The company had revenue of $1.20 billion for the quarter, compared to the consensus estimate of $1.18 billion. American Eagle Outfitters had a net margin of 5.01% and a return on equity of 20.95%. The firm's revenue was up 9.7% compared to the same quarter last year. During the same period last year, the company earned ($0.29) earnings per share. As a group, equities research analysts forecast that American Eagle Outfitters, Inc. will post 1.76 EPS for the current fiscal year.

American Eagle Outfitters Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, July 24th. Shareholders of record on Friday, July 10th were paid a $0.125 dividend. This represents a $0.50 annualized dividend and a yield of 2.8%. The ex-dividend date was Friday, July 10th. American Eagle Outfitters's payout ratio is presently 30.86%.

Analyst Ratings Changes

Several brokerages have recently issued reports on AEO. Wall Street Zen downgraded shares of American Eagle Outfitters from a "buy" rating to a "hold" rating in a research report on Sunday, July 12th. JPMorgan Chase & Co. cut their price objective on shares of American Eagle Outfitters from $25.00 to $19.00 and set a "neutral" rating on the stock in a research report on Friday, May 29th. Bank of America reduced their target price on shares of American Eagle Outfitters from $20.00 to $16.00 and set an "underperform" rating for the company in a research note on Friday, May 29th. Telsey Advisory Group lowered their target price on American Eagle Outfitters from $25.00 to $20.00 and set a "market perform" rating for the company in a report on Friday, May 29th. Finally, TD Cowen dropped their price target on American Eagle Outfitters from $19.00 to $18.00 and set a "hold" rating on the stock in a research note on Monday, May 18th. Two equities research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, American Eagle Outfitters presently has an average rating of "Hold" and an average target price of $19.91.

Insiders Place Their Bets

In other news, Director Cary D. Mcmillan sold 2,892 shares of the firm's stock in a transaction dated Tuesday, July 7th. The stock was sold at an average price of $16.77, for a total value of $48,498.84. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Noel Joseph Spiegel sold 2,892 shares of American Eagle Outfitters stock in a transaction dated Tuesday, July 7th. The shares were sold at an average price of $16.78, for a total value of $48,527.76. The disclosure for this sale is available in the SEC filing. Insiders have sold 11,563 shares of company stock valued at $196,599 in the last three months. 8.95% of the stock is currently owned by corporate insiders.

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.

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