M&T Bank Corp Takes Position in American Eagle Outfitters, Inc. $AEO

Key Points

• M&T Bank Corp acquired a new stake of 812,027 shares in American Eagle (about $21.4M), joining other large institutional buyers—Marshall Wace and American Century among them—as institutional ownership sits near 97%.
• American Eagle beat earnings for the quarter with $0.84 EPS versus $0.71 expected and $1.81B revenue (+12.2% YoY), and announced a quarterly dividend of $0.125 per share (annualized $0.50, yield 2.7%, ex-dividend Apr 10).
• Analyst sentiment is mixed-to-negative with a MarketBeat consensus of "Reduce" and a $21.75 target, while the stock trades around $18.20 (market cap ~$3.03B, P/E ~16.3).

M&T Bank Corp acquired a new position in shares of American Eagle Outfitters, Inc. (NYSE:AEO - Free Report) during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 812,027 shares of the apparel retailer's stock, valued at approximately $21,413,000. M&T Bank Corp owned approximately 0.48% of American Eagle Outfitters at the end of the most recent reporting period.

Several other large investors also recently made changes to their positions in AEO. American Century Companies Inc. raised its stake in American Eagle Outfitters by 5.1% during the 3rd quarter. American Century Companies Inc. now owns 6,649,952 shares of the apparel retailer's stock worth $113,781,000 after buying an additional 320,750 shares during the period. Marshall Wace LLP boosted its holdings in American Eagle Outfitters by 920.6% in the third quarter. Marshall Wace LLP now owns 5,497,720 shares of the apparel retailer's stock worth $94,066,000 after acquiring an additional 4,959,039 shares in the last quarter. Russell Investments Group Ltd. grew its stake in American Eagle Outfitters by 4.2% in the third quarter. Russell Investments Group Ltd. now owns 1,493,902 shares of the apparel retailer's stock valued at $25,561,000 after acquiring an additional 60,442 shares during the period. Segall Bryant & Hamill LLC acquired a new stake in American Eagle Outfitters in the third quarter valued at approximately $23,395,000. Finally, Qube Research & Technologies Ltd increased its holdings in shares of American Eagle Outfitters by 9.5% during the second quarter. Qube Research & Technologies Ltd now owns 997,360 shares of the apparel retailer's stock valued at $9,595,000 after acquiring an additional 86,241 shares in the last quarter. 97.33% of the stock is currently owned by institutional investors and hedge funds.

American Eagle Outfitters Trading Down 2.8%

AEO stock opened at $18.20 on Friday. The stock has a market cap of $3.03 billion, a P/E ratio of 16.25, a P/E/G ratio of 1.33 and a beta of 1.50. The stock's fifty day simple moving average is $19.60 and its two-hundred day simple moving average is $20.96. American Eagle Outfitters, Inc. has a 1-year low of $9.27 and a 1-year high of $28.46.

American Eagle Outfitters (NYSE:AEO - Get Free Report) last released its earnings results on Wednesday, March 4th. The apparel retailer reported $0.84 EPS for the quarter, topping analysts' consensus estimates of $0.71 by $0.13. The company had revenue of $1.81 billion for the quarter, compared to analysts' expectations of $1.74 billion. American Eagle Outfitters had a return on equity of 16.76% and a net margin of 3.49%.The business's revenue for the quarter was up 12.2% compared to the same quarter last year. During the same period in the previous year, the business posted $0.54 EPS. As a group, analysts forecast that American Eagle Outfitters, Inc. will post 1.76 earnings per share for the current fiscal year.

American Eagle Outfitters Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, April 24th. Stockholders of record on Friday, April 10th will be given a dividend of $0.125 per share. This represents a $0.50 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date of this dividend is Friday, April 10th. American Eagle Outfitters's dividend payout ratio is currently 44.64%.

Analyst Upgrades and Downgrades

A number of equities analysts have recently weighed in on AEO shares. UBS Group upped their target price on American Eagle Outfitters from $31.00 to $35.00 and gave the stock a "buy" rating in a research report on Thursday, January 8th. Needham & Company LLC initiated coverage on shares of American Eagle Outfitters in a research report on Thursday, March 26th. They issued a "hold" rating for the company. Weiss Ratings restated a "hold (c+)" rating on shares of American Eagle Outfitters in a report on Wednesday, March 25th. Zacks Research lowered shares of American Eagle Outfitters from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, March 10th. Finally, Barclays decreased their target price on shares of American Eagle Outfitters from $24.00 to $19.00 and set an "underweight" rating for the company in a research report on Thursday, March 5th. One equities research analyst has rated the stock with a Buy rating, thirteen have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, American Eagle Outfitters presently has a consensus rating of "Reduce" and a consensus target price of $21.75.

Insider Activity at American Eagle Outfitters

In other news, Director Cary D. Mcmillan sold 2,887 shares of the firm's stock in a transaction that occurred on Monday, April 6th. The shares were sold at an average price of $17.23, for a total transaction of $49,743.01. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Noel Joseph Spiegel sold 2,887 shares of the company's stock in a transaction that occurred on Monday, April 6th. The shares were sold at an average price of $17.32, for a total value of $50,002.84. The disclosure for this sale is available in the SEC filing. Company insiders own 8.70% 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.

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