American Eagle Outfitters

AEO · NYSE · Consumer Discretionary · Financials, fiscal 2016 to 2025

AEO · Last close · October 26, 2026

$18.81

Value American Eagle Outfitters yourself

American Eagle Outfitters' revenue rose 4.1% to $5.5 billion in fiscal 2025. Its operating margin was 4.1%, down from 8.0% a year earlier. Free cash flow was $195 million, down 23.1%. It paid out $142 million in dividends and buybacks, 73% of free cash flow. The diluted share count fell 10.3%.

American Eagle Outfitters, Inc. Latest fiscal year ended January 31, 2026 10-K filed March 30, 2026 · 0001193125-26-132097 Updated October 10, 2026

Revenue

$5.5B

4.1%

Operating margin

4.1%

3.9 pts

Net income

$192M

41.7%

Free cash flow

$195M

23.1%

Return on capital

11.5%

11.8 pts

Market cap

$3.2B

Oct 26 close

P/E

9.6x

On $1.96 EPS, 4 qtrs

Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on capital is after-tax operating income as a share of the money invested in the business: debt plus equity, minus cash. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.

About these figures. American Eagle had no borrowings before its 2020 convertible notes, so its debt for earlier years counts as zero.

What American Eagle Outfitters does

American Eagle Outfitters is a clothing retailer. Its main brands are American Eagle, which sells casual clothing and is known for jeans, and Aerie, which sells intimates, apparel, activewear and swimwear, including the OFFLINE by Aerie line. It also owns Todd Snyder, a menswear brand, and Unsubscribed, a brand of what it calls slow fashion. It sells online and through stores in the U.S., Canada and Mexico.

At the end of fiscal 2025 it had 1,168 company-owned stores and 357 licensed store locations. Third parties run American Eagle and Aerie stores and online marketplace businesses under license in Asia, Europe, Latin America and the Middle East. The company reports two segments, the American Eagle brand and the Aerie brand. Todd Snyder and Unsubscribed are small enough to be shown together as Other. Revenue comes from selling clothing to customers in its stores, online and in shops within other stores.

As of January 31, 2026, it operated 805 American Eagle stores, 332 stand-alone Aerie stores, 23 Todd Snyder stores and eight Unsubscribed stores. In fiscal 2025 it decided to close Quiet Platforms, a business that ran its fulfillment centers and also served outside customers, as part of a supply chain project. AEO says it operates in a highly competitive industry and faces strong pricing pressure from existing and new competitors.

Its biggest risks, as it describes them

Weaker discretionary spending, and not keeping up with changing fashion trends and customer preferences.
Intense competition and pricing pressure from existing and new rivals.
Trade matters, including tariffs and quotas, that could disrupt its supply chain and raise product costs.
Its need to grow and manage its online and omni-channel business and the delivery networks behind it.
Heavy lease obligations and risks tied to shrinking shopping-center traffic and rising occupancy costs.

From American Eagle Outfitters's annual report on Form 10-K, filed March 30, 2026, in our words; the 10-K has the full description and every risk factor. Updated with each new 10-K.

Charts show fiscal years, from the 10-K filings.

Revenue and margins

Revenue

US$ billions, fiscal years

Margins

Percent of revenue

GrossOperatingNetFree cash flow

Net income and earnings per share

From fiscal 2016 to 2025, earnings per share fell 0.7% a year and net income 1.1% a year, while buybacks cut the share count by 4%.

Net income

US$ billions, fiscal years; loss years in red.

Diluted earnings per share

US$ per share, fiscal years, restated for any stock splits; loss years in red.

Returns on capital

Return on capital and on equity

Percent. Return on capital is after-tax operating income over the money invested in the business (debt plus equity, minus cash); return on equity is net income over shareholders' equity. Both use the average of opening and closing balances.

Return on capitalReturn on equity

Cash flow

Free cash flow

US$ billions. Cash from operations minus capital expenditure; negative years in red.

Payouts and share count

Dividends and buybacks

US$ billions, cash paid in each fiscal year

DividendsShare buybacks

Diluted share count

Weighted-average diluted shares, millions

Valuation

Two ways to value American Eagle Outfitters yourself, both starting from its filings: a discounted cash flow model and the price-to-earnings method.

What American Eagle Outfitters says to expect

Full year 2026: capital expendituresThe company expects 2026 capital expenditures to be in the range of $250 to $260 million.

The company's own words, from its earnings release (Form 8-K, Exhibit 99), filed September 9, 2026. They are its expectations, not ours, and not a forecast or price target from The Filing Desk. Replaced when the next release is out.

Discounted cash flow (DCF)

A discounted cash flow (DCF) model values a business as the cash it may generate in future, discounted back to today. The starting figures come from American Eagle Outfitters' 10-K (or, for net cash and shares, its latest 10-Q) and the assumptions are yours: start from one of three example scenarios, then change any figure to see what it implies for a share, and how that compares with the last share price.

Value per share on three example scenarios, from American Eagle Outfitters' fiscal 2025 free cash flow of $195M, net cash of $197M at January 31, 2026 and 176 million diluted shares, from its filings. The scenarios are fitted to American Eagle Outfitters: the base scenario's growth in years 1 to 5 is its revenue growth over the last 3 years, 3.6% a year; the cautious and optimistic ones are lower and higher, and growth in years 6 to 10 is halfway to the long-run rate. The base scenario's discount rate is 10%: 9% for a business of moderate risk (Apparel Retail), plus 1 point as a smaller company, worth $3.2B; the cautious and optimistic ones use a point more and a point less. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.

From the filings

Starting free cash flow, US$ millions

Cash from operations minus capital spending in fiscal 2025.

Net cash, US$ millions Cash and short-term investments minus debt and finance leases at January 31, 2026. Negative means net debt.

Diluted shares, millions

Weighted-average diluted shares in fiscal 2025.

Your assumptions

Start from

Fitted to American Eagle Outfitters's own revenue growth, as above. Cautious: growth of 1.5% then 2% a year, 2% after year 10, a 11% discount rate. Base: growth of 3.5% then 3% a year, 2.5% after year 10, a 10% discount rate. Optimistic: growth of 5.5% then 4% a year, 3% after year 10, a 9% discount rate.

Free cash flow growth, years 1 to 5 (% a year)

Free cash flow growth, years 6 to 10 (% a year)

Growth after year 10 (% a year)Long-run growth forever after year 10. Usually close to inflation, and always below the discount rate.

Discount rate (% a year)The yearly return an investor wants for the risk. A higher rate gives a lower value.

Value per share on these assumptions

—

Last close, October 26, 2026: $18.81
Value on these assumptions, against the last close: —

Cash flows in years 1 to 10, valued today: —
Everything after year 10, valued today: —
Plus net cash: —
Share of value from after year 10: —

Projected free cash flow

US$ billions. Each column is one year's projected free cash flow, split into what it is worth today and the part removed by discounting.

Value todayRemoved by discounting

How the value changes with two assumptions

Value per share in US$, with the growth rates above. The highlighted cell matches the current assumptions.

How the model works. Free cash flow grows at the first rate for five years and the second rate for five more, and each year is discounted at the discount rate. Everything after year 10 is valued as year-10 cash flow × (1 + growth after year 10) ÷ (discount rate − growth after year 10), discounted back ten years. Net cash is added and the total is divided by diluted shares. The result depends entirely on the assumptions. It is not a forecast, a price target or a recommendation. The last close is the consolidated US closing price, from Databento.

Price-to-earnings (P/E) method

Another common way to value a company is to multiply its earnings per share by a price-to-earnings (P/E) multiple: the number of years of today's earnings an investor pays for a share. A higher multiple usually means investors expect earnings to grow. Choose a multiple, for example from similar companies, to see the value it gives.

Value per share on three example scenarios, from American Eagle Outfitters' earnings per share of $1.96 (over the last four quarters). Each grows earnings for a year at the cash flow scenarios' rates and applies a multiple to next year's earnings: 17.7×, the middle of American Eagle Outfitters' own P/E today, its peers' median and its sector's median (its peers' median) for the base scenario, 20% less and more for the cautious and optimistic ones. The price is brought back a year at 11%, 10% and 9%. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.

Earnings per share, US$

Diluted earnings per share over the four quarters to August 1, 2026, from the 10-Qs and 10-K.

P/E multiple

P/E today is the last close divided by the latest earnings per share, the four quarters' where available. Peers: Abercrombie & Fitch, Urban Outfitters, Victoria's Secret, Burlington Stores.

Earnings growth in the years ahead (% a year) Starts at American Eagle Outfitters' revenue growth over the last 3 years, 3.6% a year, as the base scenario does.

Earnings per share in the years ahead, US$

Year 1Year 2Year 3Year 4Year 5

Type your own estimate for any year; the years after it carry on at the growth rate.

Apply the multiple to earnings

A multiple on a future year's earnings gives the price then, brought back to today at the discount rate below.

Discount rate (% a year) The yearly return an investor wants for the risk, as in the cash flow model.

Value per share today at this multiple

—

Last close, October 26, 2026: $18.81
Value at this multiple, against the last close: —
American Eagle Outfitters' P/E at the last close: 9.6×

Company	Last close	Earnings per share	P/E today
Burlington StoresBURL	$241.26	$11.13	21.7×
Victoria's SecretVSXY	$94.96	$4.49	21.1×
Abercrombie & FitchANF	$164.73	$11.63	14.2×
Urban OutfittersURBN	$90.59	$6.41	14.1×
American Eagle OutfittersAEO	$18.81	$1.96	9.6×

How the P/E method works. Value per share is earnings per share times the multiple. On a future year's earnings, that gives the price in that year, which is brought back to today at the discount rate: price ÷ (1 + discount rate) for each year ahead. It is quick and easy to compare across companies, but it ignores debt and cash, and earnings can swing with one-off gains and charges, so a multiple says most about steady, profitable businesses. Like the cash flow model, the result depends entirely on the assumptions you choose. It is not a forecast, a price target or a recommendation.

Balance sheet

Fiscal year end	FY21	FY22	FY23	FY24	FY25
Cash and short-term investments	435	170	454	359	239
Debt incl. finance leases	341	0	0	34	42
Net debt (negative means net cash)	−94	−170	−454	−324	−197
Net debt to EBITDA	−0.1x	−0.4x	−1.0x	−0.5x	−0.4x
Debt to equity	0.2x	0.0x	0.0x	0.0x	0.0x
Interest coverage	67.7x	16.0x	89.3x	268.4x	31.1x
Current ratio	1.7x	1.4x	1.6x	1.5x	1.5x
Quick ratio	1.0x	0.7x	0.9x	0.8x	0.7x

US$ millions unless stated, at each fiscal year end. Net debt to EBITDA is debt minus cash, divided by operating income before depreciation and amortization: roughly how many years of those earnings the net debt equals. Debt to equity is debt as a multiple of shareholders' equity. Interest coverage is operating income divided by interest expense. The current ratio is current assets over current liabilities; the quick ratio leaves out inventory.

Insider trades

Over the 12 months between October 27, 2025 and October 26, 2026, no insider bought American Eagle Outfitters shares on the open market, and 8 insiders sold $39.1 million, $99,572 of it under trading plans set up in advance.

Date	Insider	Trade	Shares	Price	Value	Filing
Jul 17, 2026	David M. SableDirector	Sold plan	5,779	$17.23	$99,572	Form 4
Jul 7, 2026	Noel Joseph SpiegelDirector	Sold	2,892	$16.78	$48,528	Form 4
Apr 6, 2026	Noel Joseph SpiegelDirector	Sold	2,887	$17.32	$50,003	Form 4
Apr 6, 2026	Cary D McMillanDirector	Sold	2,887	$17.23	$49,743	Form 4
Jan 22, 2026	Jay L SchottensteinExec Chairman & CEO, Director	Sold	21,236	$26.23	$557,020	Form 4
Jan 21, 2026	Jay L SchottensteinExec Chairman & CEO, Director	Sold	527,343	$25.83	$13.6 million	Form 4
Jan 21, 2026	Noel Joseph SpiegelDirector	Sold	1,896	$25.67	$48,670	Form 4
Jan 20, 2026	Jay L SchottensteinExec Chairman & CEO, Director	Sold	500,000	$25.27	$12.6 million	Form 4
Jan 14, 2026	Cary D McMillanDirector	Sold	1,896	$26.22	$49,709	Form 4
Dec 9, 2025	James H Keefer JRSVP, Controller & CAO	Sold	5,742	$23.49	$134,869	Form 4
Dec 8, 2025	Marisa BaldwinEVP - CHRO	Sold	61,319	$22.41	$1.4 million	Form 4
Dec 5, 2025	Jennifer M. FoyleGlobal Brand President-aerie	Sold	243,047	$24.30	$5.9 million	Form 4

The latest 12 of 13 trades. Open-market purchases and sales by officers, directors and 10% owners, from their Form 4 filings with the SEC: one row per person, day and filing, at the day's average price. Grants, option exercises and shares withheld for tax aren't counted. Insiders buy and sell for many reasons, such as taxes, spreading their savings or a plan set up months earlier, so a trade on its own says little about where a company is heading. For information only, not investment advice. Insider trades at all companies

Piotroski F-score

The F-score counts how many of nine simple tests of profitability, funding and efficiency a company passed in a year (Piotroski, 2000). The more tests passed, the stronger the year: 8 or 9 is strong, 0 to 2 weak. Companies that report no gross profit are scored on the other eight.

Test	FY23	FY24	FY25
Net income is positive	Pass	Pass	Pass
Cash from operations is positive	Pass	Pass	Pass
Return on assets rose	Pass	Pass	Fail
Cash from operations exceeds net income	Pass	Pass	Pass
Debt fell relative to assets	Fail	Fail	Fail
Current ratio rose	Pass	Fail	Fail
Share count didn't rise	Pass	Pass	Pass
Gross margin rose	Pass	Pass	Fail
Revenue rose relative to assets	Pass	Fail	Fail
F-score	8 of 9	6 of 9	4 of 9
Accruals ratio	−11.8%	−4.0%	−6.7%

The accruals ratio is net income minus cash from operations, over average total assets.

Compare

Put American Eagle Outfitters side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.

Similar companies

Company	Year	Revenue growth	Operating margin	Free cash flow margin	Return on capital	Net debt to EBITDA	F-score	Compare
American Eagle Outfitters	FY25	4.1%	4.1%	3.5%	11.5%	−0.4x	4
Abercrombie & Fitch	FY25	6.4%	13.3%	7.2%	91.0%	−0.9x	5	Compare
Urban Outfitters	FY26	11.1%	9.8%	5.1%	23.7%	−0.9x	8	Compare
Victoria's Secret	FY25	5.2%	4.1%	4.8%	17.7%	0.9x	6	Compare
Burlington Stores	FY25	8.8%	—	1.5%	28.1%	0.6x	7	Compare

Each company's latest fiscal year. Fiscal years end in different months, so the periods don't line up exactly. Free cash flow margin is free cash flow as a share of revenue. Net debt to EBITDA is explained under the balance sheet, and the F-score above.

10 years of figures

Fiscal year	FY16	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25
Income statement
Revenue	3,610	3,796	4,036	4,308	3,759	5,011	4,990	5,262	5,329	5,547
Revenue growth	2.5%	5.1%	6.3%	6.8%	−12.8%	33.3%	−0.4%	5.5%	1.3%	4.1%
Gross profit	1,367	1,370	1,488	1,522	1,148	1,992	1,745	2,025	2,089	2,025
Research and development	—	—	—	—	—	—	—	—	—	—
Operating income	332	303	337	233	−271	591	247	223	427	226
Net income	212	204	262	191	−209	420	125	170	329	192
Diluted EPS (US$)	1.16	1.13	1.47	1.12	−1.26	2.03	0.64	0.86	1.68	1.09
Diluted shares (millions)	184	180	178	171	166	206	205	197	196	176
Cash flow
Cash from operations	366	394	457	415	202	304	406	581	477	456
Capital expenditure	162	170	189	210	128	234	260	174	222	261
Free cash flow	204	225	268	205	75	70	146	406	254	195
Dividends paid	91	88	97	93	23	114	65	84	96	85
Share buybacks	0	88	144	112	20	0	10	11	191	57
Acquisitions	0	0	0	0	0	358	0	0	0	0
Stock-based compensation	29	17	28	23	33	38	39	51	40	39
Balance sheet at fiscal year end
Cash and short-term investments	379	414	426	417	850	435	170	454	359	239
Debt incl. finance leases	0	0	0	0	325	341	0	0	34	42
Total assets	1,783	1,816	1,903	3,329	3,435	3,787	3,421	3,558	3,831	4,010
Total liabilities	578	570	616	2,081	2,348	2,363	1,822	1,821	2,064	2,318
Shareholders' equity	1,205	1,247	1,288	1,248	1,087	1,424	1,599	1,737	1,764	1,693
Margins and ratios
Gross margin	37.9%	36.1%	36.9%	35.3%	30.5%	39.8%	35.0%	38.5%	39.2%	36.5%
Operating margin	9.2%	8.0%	8.3%	5.4%	−7.2%	11.8%	5.0%	4.2%	8.0%	4.1%
Net margin	5.9%	5.4%	6.5%	4.4%	−5.6%	8.4%	2.5%	3.2%	6.2%	3.5%
Free cash flow margin	5.7%	5.9%	6.6%	4.8%	2.0%	1.4%	2.9%	7.7%	4.8%	3.5%
Return on capital	26.0%	25.9%	30.2%	21.5%	−30.8%	46.9%	12.6%	11.6%	23.3%	11.5%
Return on equity	18.8%	16.7%	20.7%	15.1%	−17.9%	33.4%	8.3%	10.2%	18.8%	11.1%
Return on assets	12.5%	11.3%	14.1%	7.3%	−6.2%	11.6%	3.5%	4.9%	8.9%	4.9%
Net debt to EBITDA	−0.8x	−0.9x	−0.8x	−1.0x	—	−0.1x	−0.4x	−1.0x	−0.5x	−0.4x

US$ millions unless stated. Where a later 10-K restated a year, the latest filed figure is shown. Download all figures (CSV, US$ millions)

Source: American Eagle Outfitters' Form 10-K filings, from SEC EDGAR. For information only, not investment advice. The Filing Desk is not affiliated with American Eagle Outfitters.