American Eagle Outfitters Stock Price and Value Analysis

Should you buy American Eagle Outfitters stock? (NYSE:AEO). Let's see how it does in our automated value investing analysis system.

AEO Free Cash Flow Trend

Free Cash Flow trendline for AEO
Free Cash Flow trendline for American Eagle Outfitters

Based on historical returns, we believe that American Eagle Outfitters can grow its free cash at a rate of about 3%. That's positive!

AdvantagesDisadvantages
  • This stock is on sale.
  • This company has a large dividend yield!
  • This company has fluctuating growth.
  • This company is less known than others.
  • This company is making money at a modest rate.

Inside the AEO Numbers

AEO Price
(American Eagle Outfitters stock price per share)
$18.31
[?] AEO Fair Price
(based on intrinsic value)
$19.98
[?] AEO Safety Price (based on a variable margin of safety) $11.99
[?] PE Ratio versus Sector 11% lower than other Consumer Goods stocks
[?] PE Ratio versus Industry 23% lower than other Apparel Stores stocks
[?] Cash Yield 10.40%
[?] Free Cash Flow Jitter 27%
[?] Dividend Yield 3%

Is American Eagle Outfitters Stock on Sale?

We believe that American Eagle Outfitters may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

American Eagle Outfitters looks like a price in the fair value range. Based on our analysis—if the company keeps making money the way it has been—you could be looking at a good stock. See Before You Buy for your next steps.

Should You Buy AEO Stock?

Does American Eagle Outfitters have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.