RBC Capital Mkts raised the price target for the American Eagle Outfitters Inc. (NYSE:AEO) stock to “an Outperform”. The rating was released on April 23, 2021. We previously noted in another research note published on April 15, 2021 by Telsey Advisory Group that reiterated the stock to a Market perform with a price target of $35 for AEO stock. The research report from Cowen has upgraded the stock from Market Perform to Outperform, with a price target set at $31. The stock was upgraded by RBC Capital Mkts, who disclosed in a research note on January 25, 2021, from Sector Perform to Outperform and set the price objective to $30. In their research brief published January 22, 2021, B. Riley Securities analysts reiterated the American Eagle Outfitters Inc. stock to Buy with a price target of $30.
Historical Earnings Surprises and Revenue Forecasts
Profit is the most critical financial performance measure. Every investor in a business is looking forward to the earnings report as stock price to increase when earnings exceed market expectations and progressively decrease when earnings do not meet expectations. The firm reported an earnings per share (EPS) of $0.39 during the last quarter as opposed to a consensus estimate of $0.36, which indicates the company beat its estimate by $0.03, which implies that the company surprised the market by 8.30%. It appears that the average earnings per share estimate for the current quarter (ending in Apr 2021) is $0.45. This is an average of 14 analysts’ earnings, where the high earnings per share estimate is $0.56 and the low earnings per share estimate is $0.24. According to 12 analyst estimates, an average revenue estimate of $1.01B is projected for the current quarter with a high revenue estimate of $1.05B and a low estimate of $907.89M.
The latest trade, Performances and Moving Averages give us the following Picture
The share price of American Eagle Outfitters Inc. (NYSE:AEO) dipped -6.18% to close Monday’s market session at $35.53, lower as compared to yesterday’s close. The stock price fluctuated between $35.26 and $38.28 throughout the trading session with the volume trading being 8701410 shares, which represented a significant variation when compared to the three months average volume of 4.64 million shares. The firm’s stock price fluctuated 1.05% within the last five trades and 26.31% within the last 30 trades, which was a significant change from the beginning of this year. Despite the fact that the share price increased 145.54% in the last 6 months and 49.10% was added to its value over the previous 3 months. AEO stock is trading at a margin of 9.65%, 20.98% and 83.22% apart from the 20-Day, 50-Day and 200-Day Simple Moving Average prices.
As of the close of trading, AEO deals in the Consumer Cyclical domain. The stock is trading -7.18 percent below its 52-week high and 443.69 percent above its 52-week low. For example, looking both at the price and the high and low measurements of 52 weeks will give you a clearer picture of the direction the price is heading. The firm’s Weighted Alpha is 309.16. A positive weighted alpha indicates the firm has done well over the course of the year, whereas one below 0 indicates that the firm has done poorly.
What Does American Eagle Outfitters Inc.’s Profitability and Valuation Ratios Tell Us About the Stock?
With regard to the profitability of the company, the operating margin is currently at -7.20 percent and the profit margin is -5.60 percent, and the company has reported a gross margin of 30.50 percent. The profit margin, also known as the revenue ratio or gross profit ratio, is an efficiency figure used to estimate the business’s profitability by comparing net income and sales. The higher the number, the more profits are generated for the company and vice versa.
The stock’s market cap achieved a total value of $5.77 billion as of the last trading session. Market capitalization is the total value of all outstanding shares of a corporation and it is used to measure a company’s market value. The price-to-earnings ratio is a method of assessing corporate values by comparing them to their per-share profit. Forward P/E stands at 16.48. Forward price-to-earnings is calculated using predicted earnings for the next financial year’s P/E determination. The stock has achieved an effective Price-to-Sales Ratio of 1.54 that mirrors the cost to be found for sales by the market. The firm managed a Price-to-Book ratio of 5.45, which equates the market value of a stock with its book value.
Is Insider Trading a Real Thing?
Spiegel Noel Joseph, the Director at American Eagle Outfitters Inc. (AEO) has sold 10,000 shares of firm on Apr 21 at a price of $36.00 against the total amount of $0.36 million. In another inside trade, Rempell Michael R, EVP, Chief Operations Officer of American Eagle Outfitters Inc. (NYSE:AEO) sold 12,417 shares of the firm on Apr 21 for a total worth of $0.45 million at a price of $36.00. An inside trade which took place on Apr 21, Global Brand President-AE of American Eagle Outfitters Inc. Kessler Charles F sold 41,859 shares of firm against total price of $1.51 million at the cost of $36.06 per share.