Why American Eagle Outfitters Stock Fell 38.3% in March
Shares of American Eagle Outfitters (NYSE: AEO) dropped 38.3% in March, according to data provided by S&P Global Market Intelligence, as the apparel retailer withdrew first-quarter guidance and temporarily shuttered stores amid the coronavirus outbreak.
American Eagle Outfitters closed stores across the U.S. and Canada as the coronavirus crisis deepened, with cases now totaling 1.14 million worldwide. The company withdrew guidance for the first quarter of 2020, saying store closures and other impact from the public health crisis will have a "material adverse impact on financial results." It also drew down $330 million on its revolving credit facility, though the company said it started the year in a strong financial position with $417 million in cash and short-term investments and no debt.
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Source Fool.com
