Market Overview

UPDATE: Citigroup Cuts PT to $25 on American Eagle Outfitters on Competitive Concerns

Share:
Related AEO
These 6 Stores Are 'Disappearing' From Malls
Wunderlich's Outlook For American Eagle
Tailwinds line up for apparel retailers (Seeking Alpha)

Citigroup reiterated its Buy rating on American Eagle Outfitters (NYSE: AEO) but reduced its price target from $28 to $25.

Citigroup said, "We believe AEO's product strength was demonstrated by strong E-comm sales; however, we believe AEO remains in an extremely competitive teen-apparel market with decelerating mall traffic. We believe AEO did not act on contingent promotional plans, and note that product mix was not heavily weighted to winter categories vs. other teen retailers, which is favorable for margin and inventory estimates for 4Q, in our view. We are reducing our TP to $25 based on 14x our 2014 EPS estimate and increased risk of an increasingly competitive promotional environment."

American Eagle Outfitters closed at $19.95 on Wednesday.

Latest Ratings for AEO

DateFirmActionFromTo
Jan 2015Telsey Advisory GroupUpgradesUnderperformMarket Perform
Jan 2015CRT CapitalMaintainsFairly Valued
Dec 2014BMO CapitalUpgradesMarket PerformOutperform

View More Analyst Ratings for AEO
View the Latest Analyst Ratings

Posted-In: CitigroupAnalyst Color Price Target Intraday Update Analyst Ratings

 

Related Articles (AEO)

Around the Web, We're Loving...

Get Benzinga's Newsletters