American Eagle Outfitters gets a bullish signal with earnings on the horizon
Casually clothing retailer American Eagle Outfitters (NYSE: AEO) is scheduled to release earnings results on June 5. Analysts expect the company to earn $0.21 per share for the first quarter and that is down slightly from the $0.23 the company earned last year. Revenues are expected to come in at $854.88 million and that estimate represents an increase of 3.9% from one year ago.
Looking at the weekly chart for American Eagle, the stock has pulled back in recent weeks, but it appears to have a couple of layers of support just below the current price. There is a trend line that connects the low from the third quarter of 2017 and the low from December. The stock is just above that trend line currently.
The 104-week moving average for the stock is just below the trend line and it could act as a secondary layer of support.
The Tickeron AI Trend Prediction Engine generated a bullish signal for American Eagle on May 20 and the signal showed a confidence level of 85%. The signal calls for a gain of at least 4% over the next month and 82% of previous predictions on the stock have been successful.
American Eagle has some mixed signals when it comes to fundamental indicators. Earnings have grown at a modest 10% per year over the last three years, but they fell 2% in the fourth quarter. Sales have grown at a rate of 5% per year over the last three years and they were up 1% in the fourth quarter.
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AEO in upward trend: 10-day moving average crossed above 50-day moving average on October 02, 2026
The 10-day moving average for AEO crossed bullishly above the 50-day moving average on October 02, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 11 of 13 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 85%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on September 24, 2026. You may want to consider a long position or call options on AEO as a result. In 60 of 81 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 74%.
The Moving Average Convergence Divergence (MACD) for AEO just turned positive on September 23, 2026. Looking at past instances where AEO's MACD turned positive, the stock continued to rise in 27 of 41 cases over the following month. The odds of a continued upward trend are 66%.
AEO moved above its 50-day moving average on September 28, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a +9.41% 3-day Advance, the price is estimated to grow further. Considering data from situations where AEO advanced for three days, in 205 of 293 cases, the price rose further within the following month. The odds of a continued upward trend are 70%.
Bearish Trend Analysis
The 10-day RSI Indicator for AEO moved out of overbought territory on September 30, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 28 similar instances where the indicator moved out of overbought territory. In 19 of the 28 cases, the stock moved lower in the following days. This puts the odds of a move lower at 68%.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 7 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AEO declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 79%.
AEO broke above its upper Bollinger Band on September 28, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for AEO entered a downward trend on September 16, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of 11 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.644) is normal, around the industry mean (3.366). P/E Ratio (8.923) is within average values for comparable stocks, (154.317). Projected Growth (PEG Ratio) (0.100) is also within normal values, averaging (0.517). Dividend Yield (0.029) settles around the average of (0.013) among similar stocks. P/S Ratio (0.447) is also within normal values, averaging (0.652).
The Tickeron Price Growth Rating for this company is 44 (best 1 - 100 worst), indicating steady price growth. AEO’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 46 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is 89 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. AEO’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 87, placing this stock worse than average.
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General Information
an operator of specialty retail stores
Industry ApparelFootwearRetail
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