American Eagle Outfitters Stock Current Valuation
| AEO Stock | USD 13.36 0.54 3.88% |
Valuation analysis of American Eagle Outfitters helps investors to measure American Eagle's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. As of the 25th of February 2025, Enterprise Value Over EBITDA is likely to drop to 6.00. In addition to that, Enterprise Value Multiple is likely to drop to 6.00. Fundamental drivers impacting American Eagle's valuation include:
Undervalued
Today
Please note that American Eagle's price fluctuation is not too volatile at this time. Calculation of the real value of American Eagle Outfitters is based on 3 months time horizon. Increasing American Eagle's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since American Eagle is currently traded on the exchange, buyers and sellers on that exchange determine the market value of American Stock. However, American Eagle's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 13.36 | Real 15.71 | Target 21.0 | Hype 13.34 | Naive 14.04 |
The intrinsic value of American Eagle's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence American Eagle's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of American Eagle Outfitters helps investors to forecast how American stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of American Eagle more accurately as focusing exclusively on American Eagle's fundamentals will not take into account other important factors: American Eagle Outfitters Company Current Valuation Analysis
American Eagle's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current American Eagle Current Valuation | 3.9 B |
Most of American Eagle's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, American Eagle Outfitters is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
American Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for American Eagle is extremely important. It helps to project a fair market value of American Stock properly, considering its historical fundamentals such as Current Valuation. Since American Eagle's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of American Eagle's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of American Eagle's interrelated accounts and indicators.
Click cells to compare fundamentals
American Current Valuation Historical Pattern
Today, most investors in American Eagle Stock are looking for potential investment opportunities by analyzing not only static indicators but also various American Eagle's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's current valuation growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of American Eagle current valuation as a starting point in their analysis.
American Eagle Current Valuation |
| Timeline |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, American Eagle Outfitters has a Current Valuation of 3.9 B. This is 78.45% lower than that of the Specialty Retail sector and significantly higher than that of the Consumer Discretionary industry. The current valuation for all United States stocks is 76.53% higher than that of the company.
American Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses American Eagle's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of American Eagle could also be used in its relative valuation, which is a method of valuing American Eagle by comparing valuation metrics of similar companies.American Eagle is currently under evaluation in current valuation category among its peers.
American Eagle ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, American Eagle's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to American Eagle's managers, analysts, and investors.Environmental | Governance | Social |
American Fundamentals
| Return On Equity | 0.13 | ||||
| Return On Asset | 0.077 | ||||
| Profit Margin | 0.04 % | ||||
| Operating Margin | 0.1 % | ||||
| Current Valuation | 3.9 B | ||||
| Shares Outstanding | 192.1 M | ||||
| Shares Owned By Insiders | 6.16 % | ||||
| Shares Owned By Institutions | 98.90 % | ||||
| Number Of Shares Shorted | 15.37 M | ||||
| Price To Earning | 25.74 X | ||||
| Price To Book | 1.53 X | ||||
| Price To Sales | 0.47 X | ||||
| Revenue | 5.26 B | ||||
| Gross Profit | 2.12 B | ||||
| EBITDA | 477.02 M | ||||
| Net Income | 170.04 M | ||||
| Cash And Equivalents | 170.21 M | ||||
| Cash Per Share | 0.44 X | ||||
| Total Debt | 1.19 B | ||||
| Debt To Equity | 1.25 % | ||||
| Current Ratio | 1.86 X | ||||
| Book Value Per Share | 9.09 X | ||||
| Cash Flow From Operations | 580.71 M | ||||
| Short Ratio | 3.55 X | ||||
| Earnings Per Share | 1.17 X | ||||
| Price To Earnings To Growth | 38.27 X | ||||
| Target Price | 19.3 | ||||
| Number Of Employees | 10.3 K | ||||
| Beta | 1.5 | ||||
| Market Capitalization | 2.57 B | ||||
| Total Asset | 3.56 B | ||||
| Retained Earnings | 2.21 B | ||||
| Working Capital | 542.18 M | ||||
| Current Asset | 723.38 M | ||||
| Current Liabilities | 463.68 M | ||||
| Annual Yield | 0.04 % | ||||
| Five Year Return | 3.09 % | ||||
| Net Asset | 3.56 B | ||||
| Last Dividend Paid | 0.5 |
About American Eagle Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze American Eagle Outfitters's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of American Eagle using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of American Eagle Outfitters based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with American Eagle
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if American Eagle position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in American Eagle will appreciate offsetting losses from the drop in the long position's value.Moving against American Stock
| 0.66 | DRI | Darden Restaurants | PairCorr |
| 0.64 | IH | Ihuman Inc | PairCorr |
| 0.57 | FNKO | Funko Inc Earnings Call Next Week | PairCorr |
The ability to find closely correlated positions to American Eagle could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace American Eagle when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back American Eagle - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling American Eagle Outfitters to buy it.
The correlation of American Eagle is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as American Eagle moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if American Eagle Outfitters moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for American Eagle can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out American Eagle Piotroski F Score and American Eagle Altman Z Score analysis. You can also try the Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Is Specialty Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of American Eagle. If investors know American will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about American Eagle listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.16) | Dividend Share 0.5 | Earnings Share 1.17 | Revenue Per Share | Quarterly Revenue Growth (0.01) |
The market value of American Eagle Outfitters is measured differently than its book value, which is the value of American that is recorded on the company's balance sheet. Investors also form their own opinion of American Eagle's value that differs from its market value or its book value, called intrinsic value, which is American Eagle's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because American Eagle's market value can be influenced by many factors that don't directly affect American Eagle's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between American Eagle's value and its price as these two are different measures arrived at by different means. Investors typically determine if American Eagle is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, American Eagle's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.