American Eagle Outfitters, Inc. (NYSE:AEO) stock is currently pricing at roughly $13.96. Our analysis shows that the stock is widely covered by equity research firms, and target prices are revealing. From a summary standpoint, we track the median one-year price target among 19 analysts covering the company at $15.00. That suggests shares of the stock may have another 7 percent to the upside left to run. Of those analysts we surveyed, the highest price target on recordsits at $20.00, which would imply another 57 percent in upside potential. If we look for a little more qualitative data on the range of expectations, we find in analyst notes that the stock has 7 “Buy” ratings in place. At the same time, 1 rate the stock a “strong buy”, suggesting more conviction in the story. As for the doubters, 12 equity research analyst firms call this stock a “Hold” and 0 consider it bad enough to warrant a “Sell” rating.
Analysts at BofA/Merrill took a look at AEO shares in a research note released on Mar 02, 2017, and issued a Neutral rating to this company. Buckingham Research analysts provided their own take on company recently as well. In a research note published on Jan 25, 2017,the house assigned a Neutral rating to this stock. According to a piece that hit the wires on Jan 25, 2017, researchers at Telsey Advisory Group reconsidered their prior rating on the stock, and upped it from Market Perform Perform to Outperform.
American Eagle Outfitters, Inc. (AEO) Cap Table Analysis
Breaking down the capitalization table is our next goal. From a bird’s eye view, Executives hold 3.34 percent of the stock.
If we take a more granular look, James V. O’Donnell is one of the largest owners in company capital stock among insiders. According to U.S. Securities and Exchange Commission (SEC) filings, this investor owns 1,969,052 shares, representing a total current market value of roughly $27487965.92. Jay L. Schottenstein is another major player among company insiders, currently holding 1,101,977 shares as of 0.62%, carrying a current market value of $15383598.92. Roger S. Markfield is currently ranked as the number three insider in terms of representation on the cap table for the stock, holding 810,292 shares, valued at around $11311676.32 as of recent close.
We noted a few insider transactions for the stock recently as well.
In a transaction on 2017-03-15, the company’s Global Brand President-aerie Foyle Jennifer M. sold 14,000 company shares for 203840. That means, once accounting for this transaction, the Global Brand President-aerie is left with a stake of 13,995 shares, carrying a current total market value of $195370. In addition, by means of a transaction dated 2016-09-02, EVP, COO Rempell Michael R sold 50,826 shares worth $957560. After that transaction, this investor is left with a total holding of 63,737 shares, representing a total investment value of $889768.52. We also noted a 2016-08-18 transaction in which AEO EVP, COO Rempell Michael R sold 83,141 shares at a stock price of $18.68, carrying a total value of $1553070, after which, this insider’s investment stands at 113,727 shares, with an overall financial value of $1587629.
American Eagle Outfitters, Inc. (NYSE:AEO) Earnings View
In the company’s last quarter, AEO EPS moved to $0.39 from $0.41 compared sequentially with the prior quarter. Revenues for the company came in at $1.1BM. This stacks up against $940.61MM, on a sequential basis.
How does this compare with bottom and top-line expectations? Well, according to what we could find, analysts had been looking for the company to post net income of about $0.38 per share on $1.11BM in revenue. That sets up an interesting next quarter report card. We would note that analysts seem to be projecting earnings, on average, for this quarter in the range of $0.20 to $0.26. On a year-over-year basis, that compares with an EPS comp of $0.22.