|By PR Newswire||
|September 19, 2012 09:30 AM EDT|
Here is a synopsis of American Eagle Outfitters (AEO):
Driven by strong top-line growth coupled with lower input and operating costs, American Eagle Outfitters (AEO) earnings of $0.21 per share for second-quarter 2012 surged nearly 62% from the year-ago period, and came in line with the Zacks Consensus Estimate. In the quarter, American Eagle Outfitters adjusted net sales went up 11% year over year to $739.7 million, beating the Zacks Consensus Estimate of $738 million.
Bolstered by a strong quarterly performance, American Eagle Outfitters management raised its fiscal 2012 earnings guidance range to $1.33-$1.36 per share from $1.16-$1.22 forecasted earlier. Further, we remain impressed with the American Eagle Outfitters continued momentum in denim along with improved merchandise assortments in the women's business segment, which will likely augment its top-line performance and enhance gross margin.
Moreover, we believe American Eagle Outfitters (AEO) cost-saving initiatives and long-term growth strategy will not only provide financial flexibility, but will also help to drive value. Our target price of $26.00, based on 19.1x 2012 EPS, reflects this view.
About the Bull and Bear of the Day
Every day, the analysts at Zacks Equity Research select two stocks that are likely to outperform (Bull) or underperform (Bear) the markets over the next 3-6 months.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous analyst coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today by visiting http://at.zacks.com/?id=10492.
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment
Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=10492.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/ZacksInvestmentResearch
Watch us on YouTube: http://www.youtube.com/user/ZacksInvestmentNews
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
SOURCE Zacks Investment Research, Inc.