Why American Eagle Outfitters Isn’t Better Off Than Any Other Shop at the Mall
American Eagle Outfitters (NYSE: AEO) last week reported record revenue for the quarter, but the stock market still isn't happy. Considering the overall outlook for retail and a few key points in American Eagle's report, the reaction wasn't surprising or unjustified. The shares, already down 21.8% for the year leading up to the report, fell 6.5% on the day after the news.
The retailer, known for stylishly relaxed clothing like jeans and athletic apparel, started out its third-quarter report with some good news: Same-store sales climbed 5% for 19 straight quarters of growth, and total revenue gained 6% to reach a record $1.07 billion. Earnings per share was $0.48, in line with analyst estimates, though that follows three consecutive quarters of surpassing estimates.
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Source Fool.com
