Principal Financial Group Inc. Sells 358,986 Shares of American Eagle Outfitters, Inc. $AEO

Key Points

• Principal Financial Group Inc. cut its stake in American Eagle Outfitters by 22.6% in the first quarter, selling 358,986 shares and leaving it with 1,232,299 shares valued at about $20.6 million.
• Insider selling continued as directors Cary D. McMillan and Noel Joseph Spiegel each sold 2,892 shares on July 7 at roughly $16.77–$16.78 per share.
• American Eagle Outfitters reported better-than-expected Q1 results, with EPS of $0.14 versus $0.11 expected and revenue of $1.20 billion, while analysts currently rate the stock a consensus Hold with a target price of $19.91.

Principal Financial Group Inc. reduced its stake in American Eagle Outfitters, Inc. (NYSE:AEO - Free Report) by 22.6% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 1,232,299 shares of the apparel retailer's stock after selling 358,986 shares during the quarter. Principal Financial Group Inc. owned approximately 0.74% of American Eagle Outfitters worth $20,579,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also bought and sold shares of the company. Kemnay Advisory Services Inc. purchased a new position in American Eagle Outfitters during the 4th quarter worth $31,000. Aster Capital Management DIFC Ltd bought a new stake in shares of American Eagle Outfitters in the 4th quarter worth $32,000. Raymond James Financial Inc. purchased a new stake in shares of American Eagle Outfitters in the second quarter valued at about $35,000. Federated Hermes Inc. raised its holdings in shares of American Eagle Outfitters by 151.0% in the second quarter. Federated Hermes Inc. now owns 3,848 shares of the apparel retailer's stock valued at $37,000 after purchasing an additional 2,315 shares during the last quarter. Finally, Larson Financial Group LLC lifted its position in shares of American Eagle Outfitters by 8,432.1% during the third quarter. Larson Financial Group LLC now owns 2,389 shares of the apparel retailer's stock valued at $41,000 after purchasing an additional 2,361 shares in the last quarter. 97.33% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, Director Cary D. Mcmillan sold 2,892 shares of the stock in a transaction on Tuesday, July 7th. The stock was sold at an average price of $16.77, for a total transaction of $48,498.84. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Noel Joseph Spiegel sold 2,892 shares of American Eagle Outfitters stock in a transaction dated Tuesday, July 7th. The stock was sold at an average price of $16.78, for a total value of $48,527.76. The SEC filing for this sale provides additional information. 8.95% of the stock is owned by corporate insiders.

American Eagle Outfitters Price Performance

Shares of NYSE:AEO opened at $17.34 on Wednesday. The company's 50-day moving average is $16.95 and its 200 day moving average is $19.65. The company has a debt-to-equity ratio of 0.05, a quick ratio of 0.53 and a current ratio of 1.55. The company has a market capitalization of $2.91 billion, a P/E ratio of 10.71, a price-to-earnings-growth ratio of 3.83 and a beta of 1.31. American Eagle Outfitters, Inc. has a fifty-two week low of $10.02 and a fifty-two week high of $28.46.

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

American Eagle Outfitters Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, July 24th. Stockholders of record on Friday, July 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 2.9%. The ex-dividend date of this dividend is Friday, July 10th. American Eagle Outfitters's dividend payout ratio is currently 30.86%.

Analyst Upgrades and Downgrades

Several research firms recently weighed in on AEO. Barclays cut their price target on shares of American Eagle Outfitters from $19.00 to $17.00 and set an "equal weight" rating on the stock in a report on Friday, May 29th. JPMorgan Chase & Co. decreased their price objective on shares of American Eagle Outfitters from $25.00 to $19.00 and set a "neutral" rating for the company in a research note on Friday, May 29th. William Blair reissued a "buy" rating on shares of American Eagle Outfitters in a research report on Wednesday, July 15th. Citigroup cut their target price on American Eagle Outfitters from $24.00 to $18.00 and set a "neutral" rating on the stock in a research note on Monday, June 1st. Finally, Bank of America reduced their target price on American Eagle Outfitters from $20.00 to $16.00 and set an "underperform" rating for the company in a report on Friday, May 29th. Two analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus target price of $19.91.

American Eagle Outfitters 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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