Telsey Advisory Group Has Weak Estimate for AEO Q3 Earnings

Key Points

• Telsey Advisory Group has revised its Q3 2026 earnings per share estimate for American Eagle Outfitters (AEO) down to $0.43 from $0.46, maintaining a "Market Perform" rating with a $18.00 price target.
• The stock has seen varied ratings from analysts, with changes in price targets ranging from $9.00 to $21.50, reflecting a mix of Buy, Hold, and Sell ratings.
• American Eagle Outfitters reported a quarterly earnings surge to $0.45 per share, exceeding expectations, though revenue showed a slight year-over-year decline of 0.6%.

American Eagle Outfitters, Inc. (NYSE:AEO - Free Report) - Equities researchers at Telsey Advisory Group reduced their Q3 2026 EPS estimates for shares of American Eagle Outfitters in a research note issued on Thursday, September 4th. Telsey Advisory Group analyst D. Telsey now forecasts that the apparel retailer will post earnings of $0.43 per share for the quarter, down from their previous forecast of $0.46. Telsey Advisory Group has a "Market Perform" rating and a $18.00 price objective on the stock. The consensus estimate for American Eagle Outfitters' current full-year earnings is $1.70 per share. Telsey Advisory Group also issued estimates for American Eagle Outfitters' Q3 2027 earnings at $0.48 EPS and FY2027 earnings at $1.40 EPS.

American Eagle Outfitters (NYSE:AEO - Get Free Report) last issued its earnings results on Wednesday, September 3rd. The apparel retailer reported $0.45 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.20 by $0.25. American Eagle Outfitters had a net margin of 3.74% and a return on equity of 13.67%. The business had revenue of $1.28 billion during the quarter, compared to analysts' expectations of $1.23 billion. During the same quarter in the prior year, the business posted $0.39 EPS. The company's revenue for the quarter was down .6% on a year-over-year basis.

Other research analysts have also recently issued research reports about the stock. Wall Street Zen upgraded shares of American Eagle Outfitters from a "sell" rating to a "hold" rating in a report on Friday. BMO Capital Markets lowered their target price on shares of American Eagle Outfitters from $15.00 to $11.00 and set a "market perform" rating for the company in a report on Wednesday, May 14th. UBS Group upped their target price on shares of American Eagle Outfitters from $19.00 to $21.50 and gave the company a "buy" rating in a report on Thursday. Jefferies Financial Group increased their price target on shares of American Eagle Outfitters from $11.00 to $17.00 and gave the stock a "hold" rating in a research note on Thursday. Finally, Morgan Stanley set a $10.00 price target on shares of American Eagle Outfitters and gave the stock an "equal weight" rating in a research note on Monday, June 2nd. One equities research analyst has rated the stock with a Buy rating, eight have assigned a Hold rating and three have given a Sell rating to the company's stock. According to MarketBeat, American Eagle Outfitters currently has an average rating of "Reduce" and a consensus target price of $13.94.

American Eagle Outfitters Stock Up 0.2%

Shares of American Eagle Outfitters stock traded up $0.04 during trading hours on Friday, hitting $18.83. The company had a trading volume of 36,238,230 shares, compared to its average volume of 17,596,878. The company's 50-day moving average is $11.86 and its two-hundred day moving average is $11.42. American Eagle Outfitters has a twelve month low of $9.27 and a twelve month high of $22.63. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.62 and a quick ratio of 0.71. The company has a market cap of $3.26 billion, a P/E ratio of 18.11 and a beta of 1.44.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Wealth Enhancement Advisory Services LLC increased its stake in shares of American Eagle Outfitters by 319.2% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 44,570 shares of the apparel retailer's stock worth $518,000 after acquiring an additional 33,938 shares during the period. GAMMA Investing LLC increased its stake in shares of American Eagle Outfitters by 380.4% during the first quarter. GAMMA Investing LLC now owns 2,325 shares of the apparel retailer's stock worth $27,000 after acquiring an additional 1,841 shares during the period. Rhumbline Advisers increased its stake in shares of American Eagle Outfitters by 0.7% during 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. Janney Montgomery Scott LLC acquired a new position in shares of American Eagle Outfitters during the first quarter worth about $440,000. Finally, Asset Management One Co. Ltd. lifted its stake in shares of American Eagle Outfitters by 38.7% in the first quarter. Asset Management One Co. Ltd. now owns 4,173 shares of the apparel retailer's stock valued at $48,000 after purchasing an additional 1,165 shares during the period. 97.33% of the stock is currently owned by institutional investors and hedge funds.

About American Eagle Outfitters

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.