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.
AEO sees MACD Histogram crosses below signal line
AEO saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on June 29, 2026. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 43 instances where the indicator turned negative. In of the 43 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for AEO moved out of overbought territory on June 15, 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 27 similar instances where the indicator moved out of overbought territory. In of the 27 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on June 26, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on AEO as a result. In of 80 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
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 of 62 cases within the following month. The odds of a continued downward trend are .
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 56 cases where AEO's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
AEO moved above its 50-day moving average on July 10, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for AEO crossed bullishly above the 50-day moving average on June 15, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In of 12 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 .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where AEO advanced for three days, in of 296 cases, the price rose further within the following month. The odds of a continued upward trend are .
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of (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 (1.713) is normal, around the industry mean (3.450). P/E Ratio (10.572) is within average values for comparable stocks, (17.492). AEO's Projected Growth (PEG Ratio) (0.000) is slightly lower than the industry average of (1.822). Dividend Yield (0.030) settles around the average of (0.033) among similar stocks. P/S Ratio (0.518) is also within normal values, averaging (0.733).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent 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 SMR rating for this company is (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 Price Growth Rating for this company is (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 Seasonality Score of (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 Profit vs. Risk Rating rating for this company is (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 88, placing this stock worse than average.
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General Information
an operator of specialty retail stores
Industry ApparelFootwearRetail
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