NYSE
AEO
Last Price
US $17.29
KEY FIGURES
MKT CAP
$3.0B
EPS
TTM
$1.67
PEG
TTM
N/M
P/E
TTM
10.84x
P/S
TTM
0.55x
YIELD
2.80%
GROWTH
Revenue Y/Y
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
American Eagle Outfitters, Inc. cash flow to debt ratio of 26.32% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial risk - Healthy cash flow growth.
American Eagle Outfitters, Inc.'s free cash flow has decreased -23.15% from $254.26M last year to $195.39M, signaling decreasing performance
Financial risk - Healthy debt to equity ratio.
American Eagle Outfitters, Inc.'s debt to equity ratio is 1.14, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial risk - Healthy debt to equity ratio development.
American Eagle Outfitters, Inc.'s debt has increased relative to shareholder equity from 0.82 last year to 1.14 today, signaling weakened financials
Financial risk - Net debt/EBITDA.
American Eagle Outfitters, Inc. has a net debt to EBITDA ratio of 3.21x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial stability - ICR.
American Eagle Outfitters, Inc.'s interest coverage ratio of 34.81 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
American Eagle Outfitters, Inc.'s profit margin has decreased (-19.03%) in the last year from 6.18% to 5.00%, signaling decreasing performance
Financial stability - Short term assets vs short term liabilities.
American Eagle Outfitters, Inc.'s short-term assets of $1.31G exceed its short-term liabilities of $865.64M
Increasing performance - ROA.
American Eagle Outfitters, Inc.'s return on assets of 6.87% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
American Eagle Outfitters, Inc.'s return on equity of 17.24%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
American Eagle Outfitters, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
American Eagle Outfitters, Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
American Eagle Outfitters, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
American Eagle Outfitters, Inc. has a free cash flow yield of 6.52%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Decreasing performance - Healthy earnings growth.
American Eagle Outfitters, Inc.'s yearly earnings has decreased -41.71% since last year from $329.38M to $191.98M, signaling decreasing performance
Increasing performance - Healthy revenue growth.
American Eagle Outfitters, Inc.'s yearly revenue has increased 3.16% since last year from $5.33G to $5.50G, signaling increasing performance
Increasing performance - ROIC.
ROIC 8.95% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Increasing performance - 3-year revenue CAGR.
American Eagle Outfitters, Inc.'s 3-year revenue CAGR of 3.28% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
American Eagle Outfitters, Inc. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
American Eagle Outfitters, Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Undervalued - DCF valuation.
American Eagle Outfitters, Inc. is undervalued relative to its fair value price of 39.62 based on Discounted Cash Flow model
Undervalued - Earnings yield.
American Eagle Outfitters, Inc. has an earnings yield of 9.34%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
American Eagle Outfitters, Inc. is overvalued relative to its fair value price of 13.71 based on EBITDA multiple model
Undervalued - EV/EBITDA.
American Eagle Outfitters, Inc. has an EV/EBITDA ratio of 8.05x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Undervalued - PEG ratio value.
American Eagle Outfitters, Inc. has a PEG-ratio under 1 which is considered undervalued
Undervalued - P/B ratio.
American Eagle Outfitters, Inc. has a price-to-book ratio of 1.82x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
American Eagle Outfitters, Inc. has a price-to-sales ratio of 0.53x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
17.24%
Return on equity
ROIC: 8.95%
Valuation History
10.8X
Price to Earnings
EV/EBITDA: 8.1X
Cash flow
Profit margin
7.90%
(FY vs FY)
EBITDA Y/Y
-
(FY vs FY)
Cash flow Y/Y
21.26%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $17.29
129.15%
Default assumptions
EBITDA Multiple
Fair Value
Market $17.29
-20.71%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.