Is the Pain Finally Over for American Eagle's Biggest Brand?

American Eagle Outfitters (NYSE: AEO) is a fashion basics retailer geared toward teens. Its two biggest brands, American Eagle Outfitters and Aerie, are shopping mall staples throughout the world. However, the two brands are not on equal footing, and that has been a problem for the company. Only that problem may be about to turn an important corner.

In 2022, American Eagle's total company sales were roughly flat compared to 2021. However, there was a dichotomy between the apparel company's two biggest brands. Aerie witnessed sales growth of 9%, while American Eagle's sales fell 8%. That said, there was a bit of choppiness in there because of the lingering impact of the coronavirus pandemic in 2020. A comparison to 2019 is a little more telling, with Aerie's sales up 88% versus that year while the American Eagle brand's sales were down 6%.

Image source: Getty Images.

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Source Fool.com