American Eagle Outfitters Shares Up on Profit Outlook

The company's second-quarter earnings met analysts' expectations

   

American Eagle Outfitters Shares Up on Profit Outlook

American Eagle Outfitters (NYSE:AEO) announced on Wednesday that it earned $19.03 million during the second quarter, down 3% from $19.7 million in the same period last year.

The apparel maker and retailer recorded sales of $740 million, up 11% from 2011. Adjusted EPS for the quarter was 21 cents. That was in line with Wall Street forecasts, Reuters noted.

American Eagle Outfitters 200x200 American Eagle Outfitters Shares Up on Profit Outlook
Can Retail’s Rally Keep It Up?

Shares of American Eagle Outfitters jumped more than 6% in Wednesday afternoon trading.

The company said that same-store sales increased 9% over last year. Company officials projected full-year earnings of between $1.33 and $1.36 a share. That topped analysts’ forecasts for a profit of $1.32 a share for 2012.

Analysts noted that the company has introduced new clothing lines to appeal to teenagers, putting it in a competitive position as it enters the back-to-school shopping season.

It has been a mixed season for teen-oriented apparel makers. While the Gap (NYSE:GPS) announced second-quarter earnings that beat Wall Street predictions and raised its earnings outlook for the year, rivals Abercrombie & Fitch (NYSE:ANF) and Aeropostale (NYSE:ARO) predicted weak sales in coming quarters.


Article printed from InvestorPlace Media, http://investorplace.com/2012/08/american-eagle-outfitters-shares-up-on-profit-outlook/.

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