Fact based stock research
American Eagle Outfitters (NYSE:AEO)

US02553E1064

How to read the free ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

American Eagle Outfitters stock research in summary

ae.com

ANALYSIS: With an Obermatt Combined Rank of 81 (better than 81% compared with investment alternatives), American Eagle Outfitters (Apparel Retail, USA) shares have much better financial characteristics than comparable stocks. Shares of American Eagle Outfitters are a good value (attractively priced) with a consolidated Value Rank of 95 (better than 95% of alternatives), are safely financed (Safety Rank of 98, which means low debt burdens), but show below-average growth (Growth Rank of 1). ...read more

RECOMMENDATION: A Combined Rank of 81, is a strong buy recommendation based on American Eagle Outfitters's financial characteristics. As the company American Eagle Outfitters's key financial metrics exhibit good value (Obermatt Value Rank of 95) but low growth (Obermatt Growth Rank of 1) while being safely financed (Obermatt Safety Rank of 98), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 95% of comparable companies, may also indicate that the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity and the downside is limited due to below-average financing risks. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	95
Growth Rank	1
Safety Rank	98
Combined Rank	81

Country	USA
Industry	Apparel Retail
Index	Dividends USA, S&P MIDCAP
Size class	Medium

This stock has achievements: Top 10 Stock.

31-Jul-2025. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

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Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: American Eagle Outfitters

RESEARCH HISTORY	2022	2023	2024	2025
VALUE
VALUE	67	68	91	95
GROWTH
GROWTH	77	99	47	1
SAFETY
SAFETY	72	75	66	98
SENTIMENT
SENTIMENT	89	48	61	^new
360° VIEW
360° VIEW	93	93	100	^new

Most recent update of the stock research: 31-Jul-2025. Financial reporting date used for calculating ranks: 1-Feb-2025. Stock research history is based on the Obermatt Method. The higher the rank, the better American Eagle Outfitters is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2022	2023	2024	2025
VALUE
VALUE	67	68	91	95
GROWTH
GROWTH	77	99	47	1
SAFETY
SAFETY	72	75	66	98
COMBINED
COMBINED	53	67	98	81

Last update of combined financial performance: 31-Jul-2025. Stock analysis on combined financial performance: The higher the rank of American Eagle Outfitters the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 95 (better than 95% compared with alternatives) for 2025, American Eagle Outfitters shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators that are all above average for American Eagle Outfitters. Price-to-Sales is 56 which means that the stock price compared with what market professionals expect for future sales is lower than for 56% of comparable companies, indicating a good value for American Eagle Outfitters's revenue size. The same is valid for expected Price-to-Profits, more favorable than for 68% of alternatives, and this is also true for the Price-to-Book capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 63. Compared with other companies in the same industry, dividend yields of American Eagle Outfitters are expected to be higher than for 96% of all competitors (a Dividend Yield rank of 96). ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 95, is a buy recommendation based on American Eagle Outfitters's stock price compared with the company's operational size and dividend yields. Since all value metrics are above the industry average, there is no objection to investing in American Eagle Outfitters based on its detailed value metrics. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more

VALUE METRICS	2022	2023	2024	2025
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	42	41	48	56
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	47	54	86	68
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	48	50	56	63
DIVIDEND YIELD
DIVIDEND YIELD	84	84	94	96
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	67	68	91	95

Last update of Value Rank: 31-Jul-2025. Stock analysis on value ratios: The higher the rank, the lower the value ratio of American Eagle Outfitters; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 1 (better than 1% compared with alternatives), American Eagle Outfitters shows one of the most restricted growth dynamics in its industry. There is little momentum in this company. The Growth Rank is based on consolidating four value indicators, with all four metrics below average for American Eagle Outfitters. Sales Growth has a rank of 23, which means that currently professionals expect the company to grow less than 77% of its competitors. The same is valid for Profit Growth, with a rank of 8, and Capital Growth with 24. In addition, Stock Returns have a below market rank of 13, which means that the stock returns have recently been below 87% of alternative investments. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 1, is a sell recommendation for growth and momentum investors. These are all bad growth momentum indicators. These are negative signals for investors interested in growth companies. Value is likely good for this company, as investors may have left this stock in the cold. If that is the case, investors should look at the company's outlook, especially Sentiment performance, because it may be a turnaround situation that could entail above-average stock returns in the future. But it remains a risky bet, as no growth signals are in the green zone yet. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is low here. ...read more

GROWTH METRICS	2022	2023	2024	2025
REVENUE GROWTH
REVENUE GROWTH	79	47	38	23
PROFIT GROWTH
PROFIT GROWTH	96	90	68	8
CAPITAL GROWTH
CAPITAL GROWTH	30	93	71	24
STOCK RETURNS
STOCK RETURNS	45	91	27	13
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	77	99	47	1

Last update of Growth Rank: 31-Jul-2025. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of American Eagle Outfitters.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 98 (better than 98% compared with alternatives) for 2025, the company American Eagle Outfitters has safe financing practices, which means that their overall debt burden is low. This doesn't mean that the business of American Eagle Outfitters is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, where all three are above average for American Eagle Outfitters. Leverage is at 100, meaning the company has a below-average debt-to-equity ratio. It has less debt than 100% of its competitors. Refinancing is at a rank of 66, meaning that the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 66% of its competitors. Finally, Liquidity is also good at a rank of 100, which means that the company generates more profit to service its debt than 100% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 98 (better than 98% compared with alternatives), American Eagle Outfitters has a financing structure that is significantly safer than that of its competitors. These three positive financing indicators signal that the company is less likely to default on its debt obligations. However, it also means that its shareholder returns will be more modest if things go well. A low safety means fewer troubles in downtimes and less upside in good times. Investors may not have a debt issue with American Eagle Outfitters but they should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2022	2023	2024	2025
LEVERAGE
LEVERAGE	68	81	100	100
REFINANCING
REFINANCING	76	52	69	66
LIQUIDITY
LIQUIDITY	72	76	1	100
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	72	75	66	98

Last update of Safety Rank: 31-Jul-2025. Stock analysis on safety metrics: The higher the rank, the lower the leverage of American Eagle Outfitters and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2022	2023	2024	2025
ANALYST OPINIONS
ANALYST OPINIONS	n/a	25	18	^new
OPINIONS CHANGE
OPINIONS CHANGE	92	60	72	^new
PRO HOLDINGS
PRO HOLDINGS	75	70	67	^new
MARKET PULSE
MARKET PULSE	66	49	90	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	89	48	61	^new

Last update of Sentiment Rank: 31-Jul-2025. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for American Eagle Outfitters.
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