Why American Eagle Stock Flopped Today

Why American Eagle Stock Flopped Today
·2 min read

After Abercrombie & Fitch (NYSE: ANF) reported its disastrous earnings Tuesday, fellow retail clothier American Eagle Outfitters (NYSE: AEO) reported its own earnings last night, and the news isn't much better here. Expecting profits of $0.25 per share on sales of $1.14 billion, American Eagle disappointed investors when it reported just $0.16 in earnings per share on sales of $1.06 billion -- missing on both the top and bottom lines. Give American Eagle credit, though: It fessed up to its sales miss in the second line of its earnings announcement last night, explaining that a shifting macro environment and weak consumer demand for clothing made for a challenging quarter.