In its upcoming report, American Eagle Outfitters (AEO) is predicted by Wall Street analysts to post quarterly earnings of $0.20 per share, reflecting a decline of 48.7% compared to the same period last year. Revenues are forecasted to be $1.23 billion, representing a year-over-year decrease of 4.5%.
Over the last 30 days, there has been an upward revision of 1.5% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
In light of this perspective, let's dive into the average estimates of certain American Eagle metrics that are commonly tracked and forecasted by Wall Street analysts.
The average prediction of analysts places 'Total net revenue- American Eagle' at $790.97 million. The estimate suggests a change of -4.4% year over year.
It is projected by analysts that the 'Total net revenue- Aerie' will reach $402.05 million. The estimate indicates a change of -3.3% from the prior-year quarter.
The consensus among analysts is that 'Number of stores - Total (EOP)' will reach 1,180 . Compared to the current estimate, the company reported 1,178 in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Number of stores - AE Brand' will likely reach 822 . Compared to the current estimate, the company reported 843 in the same quarter of the previous year.
According to the collective judgment of analysts, 'Number of stores - Aerie stand-alone (incl. OFFL/NE)' should come in at 330 . Compared to the current estimate, the company reported 313 in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'Gross square footage - Total' of 7 millions of square feet. The estimate compares to the year-ago value of 7 millions of square feet.
Based on the collective assessment of analysts, 'Number of stores - Todd Snyder' should arrive at 20 . Compared to the current estimate, the company reported 17 in the same quarter of the previous year.
Analysts forecast 'Number of stores - Unsubscribed' to reach 7 . The estimate is in contrast to the year-ago figure of 5 .
Analysts predict that the 'Operating income (loss)- Aerie' will reach $59.49 million. Compared to the present estimate, the company reported $69.64 million in the same quarter last year.
The consensus estimate for 'Operating income (loss)- American Eagle' stands at $124.09 million. The estimate is in contrast to the year-ago figure of $144.89 million.
View all Key Company Metrics for American Eagle here>>>
Over the past month, American Eagle shares have recorded returns of +17.3% versus the Zacks S&P 500 composite's +1.5% change. Based on its Zacks Rank #3 (Hold), AEO will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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American Eagle Outfitters, Inc. (AEO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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