Dimensional Fund Advisors LP recently announced the acquisition of new stake in American Eagle Outfitters Inc. (NYSE:AEO). The institutional investor has increased its shareholding in the Consumer Cyclical company by 12.99% to 9.71 million shares with purchase of 1.12 million shares. This fresh investment now brings its stake to 5.87% valued currently at $97.08 million. In addition, Millennium Management LLC raised its holdings by 5.63 million to 6.05 million shares.
With over 8.39 million American Eagle Outfitters Inc. (AEO) shares trading Monday and a closing price of $12.61 on the day, the dollar volume was approximately $105.81 million. The shares have shown a positive weekly performance of 12.99% and its price on 08/31/20 gained nearly 2.19%. Currently, there are 166.78M common shares owned by the public and among those 153.80M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 17 analysts who have offered their price forecasts for AEO have a consensus price objective of $13.26. The analysts have set the share’s price value over the next 12 months at a high of $20.00 and a low of $7.00 should the stock experience a downside. Incidentally, analysts’ outlook for the American Eagle Outfitters Inc. stock is 2.50 for the next 12 months. The average price target is 4.9% above its last price level and an upside to the estimated low will see the stock lose -80.14% over that period. But an upside of 36.95% will see the stock hit the forecast high price target while mean target price for the stock is $13.00.
Insiders at the company have transacted a total of 59 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 33 of these insider trades were purchases, accounting for 472,507 shares. Insider sales of the common stock occurred on 26 occasions, with total insider shares sold totaling 260,322 shares.
The top 3 mutual fund holders in American Eagle Outfitters Inc. are Vanguard Selected Value Fund, Vanguard Total Stock Market Index, and iShares Core S&P Mid Cap ETF. Vanguard Selected Value Fund owns 5.44 million shares of the company’s stock, all valued at over $54.41 million. The company sold -0.48 million shares recently to bring their total holdings to about 3.29% of the shares outstanding. Vanguard Total Stock Market Index sold 2819.0 shares to see its total holdings shrink to 4.19 million shares valued at over $41.93 million and representing 2.53% of the shares outstanding. iShares Core S&P Mid Cap ETF sold 49469.0 shares to bring its total holdings to over 4.12 million shares at a value of $41.18 million. iShares Core S&P Mid Cap ETF now owns shares totaling to 2.49% of the shares outstanding.
Shares of American Eagle Outfitters Inc. (NYSE: AEO) opened at $12.42, up $0.08 from a prior closing price of $12.34. However, the script later closed the day at $12.61, up 2.19%. The company’s stock has a 5-day price change of 12.99% and 22.55% over the past three months. AEO shares are trading -14.22% year to date (YTD), with the 12-month market performance down to -25.03% lower. It has a 12-month low price of $6.53 and touched a high of $18.01 over the same period. Currently, 8.39 million shares have been traded, compared to an average intraday trading volume of 7.63 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 11.25%, 15.14%, and 8.09% respectively.
Institutional ownership of American Eagle Outfitters Inc. (NYSE: AEO) 166.78M shares outstanding. Mutual fund holders own 49.54%, while other institutional holders and individual stakeholders account for 61.80% and 20.32% respectively.
It has a market capitalization of $2.03B and a beta (3y monthly) value of 1.24. The earnings-per-share (ttm) stands at -$0.66. Price movements for the stock have been influenced by the stock’s volatility, which stands at 4.70% over the week and 4.86% over the month.
Analysts forecast that American Eagle Outfitters Inc. (AEO) will achieve an EPS of -$0.17 for the current quarter, $0.33 for the next quarter and $0.97 for 2022. The lowest estimate earnings-per-share for the quarter is -$0.52 while analysts give the company a high EPS estimate of $0.05. Comparatively, EPS for the current quarter was $0.39 a year ago. Earnings per share for the fiscal year are expected to decrease by -23.90%, and 385.30% over the next financial year. EPS should shrink at an annualized rate of -7.69% over the next five years, compared to 19.70% over the past 5-year period.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 17 brokerage firm advisors rate American Eagle Outfitters Inc. (AEO) as a “Moderate Buy” at a consensus score of 2.50. Specifically, 7 Wall Street analysts polled rate the stock as a buy, while 7 of the 17 advise that investors “hold,” and 1 rated it as a “Sell.”
Looking at the support for the AEO, a number of firms have released research notes about the stock. JP Morgan stated their Overweight rating for the stock in a research note on August 12, 2020, with the firm’s price target at $17. Citigroup coverage for the American Eagle Outfitters Inc. (AEO) stock in a research note released on July 30, 2020 offered a Buy rating with a price target of $14. Morgan Stanley was of a view on June 04, 2020 that the stock is Equal-Weight, while Raymond James gave the stock Outperform rating on May 06, 2020, issuing a price target of $10. Loop Capital on their part issued Sell rating on April 15, 2020.