Morgan Stanley Downgrades American Eagle Outfitters (NYSE:AEO) to Equal Weight

Morgan Stanley lowered shares of American Eagle Outfitters (NYSE:AEO - Free Report) from an overweight rating to an equal weight rating in a research report sent to investors on Wednesday, MarketBeat.com reports. The firm currently has $17.00 price target on the apparel retailer's stock, down from their prior price target of $19.00.

Several other research analysts have also issued reports on AEO. JPMorgan Chase & Co. decreased their price target on shares of American Eagle Outfitters from $23.00 to $20.00 and set a "neutral" rating for the company in a research note on Wednesday, January 8th. Jefferies Financial Group lowered their target price on shares of American Eagle Outfitters from $22.00 to $19.00 and set a "hold" rating for the company in a report on Tuesday, November 12th. StockNews.com raised American Eagle Outfitters from a "hold" rating to a "buy" rating in a research report on Wednesday, January 22nd. BMO Capital Markets dropped their target price on American Eagle Outfitters from $22.00 to $20.00 and set a "market perform" rating on the stock in a report on Thursday, December 5th. Finally, Bank of America lowered their price target on American Eagle Outfitters from $21.00 to $18.00 and set a "neutral" rating for the company in a research report on Wednesday, January 15th. Ten research analysts have rated the stock with a hold rating and two have assigned a buy rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $21.00.

American Eagle Outfitters Price Performance

American Eagle Outfitters stock traded down $0.46 during mid-day trading on Wednesday, reaching $15.59. 3,751,439 shares of the company traded hands, compared to its average volume of 3,981,301. American Eagle Outfitters has a 52-week low of $15.36 and a 52-week high of $26.44. The firm has a market capitalization of $2.99 billion, a price-to-earnings ratio of 13.32, a P/E/G ratio of 0.95 and a beta of 1.53. The firm's 50 day moving average price is $16.86 and its 200 day moving average price is $19.05.

American Eagle Outfitters (NYSE:AEO - Get Free Report) last issued its quarterly earnings data on Wednesday, December 4th. The apparel retailer reported $0.48 EPS for the quarter, topping the consensus estimate of $0.46 by $0.02. American Eagle Outfitters had a net margin of 4.28% and a return on equity of 20.75%. The business had revenue of $1.29 billion during the quarter, compared to analyst estimates of $1.30 billion. During the same period last year, the business posted $0.49 earnings per share. American Eagle Outfitters's quarterly revenue was down .9% compared to the same quarter last year. On average, sell-side analysts anticipate that American Eagle Outfitters will post 1.7 EPS for the current year.

American Eagle Outfitters Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, January 24th. Stockholders of record on Friday, January 10th were paid a dividend of $0.125 per share. This represents a $0.50 annualized dividend and a dividend yield of 3.21%. The ex-dividend date was Friday, January 10th. American Eagle Outfitters's dividend payout ratio is presently 42.74%.

Insider Buying and Selling

In related news, Director Cary D. Mcmillan sold 2,999 shares of the stock in a transaction that occurred on Thursday, January 16th. The shares were sold at an average price of $16.02, for a total value of $48,043.98. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 7.30% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Kathleen S. Wright Associates Inc. bought a new position in shares of American Eagle Outfitters in the third quarter worth about $32,000. Blue Trust Inc. grew its holdings in American Eagle Outfitters by 95.7% during the 4th quarter. Blue Trust Inc. now owns 1,916 shares of the apparel retailer's stock valued at $32,000 after buying an additional 937 shares in the last quarter. Principal Securities Inc. raised its position in shares of American Eagle Outfitters by 2,239.1% during the fourth quarter. Principal Securities Inc. now owns 2,573 shares of the apparel retailer's stock valued at $43,000 after buying an additional 2,463 shares during the last quarter. Park Place Capital Corp purchased a new position in shares of American Eagle Outfitters in the fourth quarter worth $45,000. Finally, Smartleaf Asset Management LLC boosted its position in shares of American Eagle Outfitters by 137.5% during the fourth quarter. Smartleaf Asset Management LLC now owns 3,358 shares of the apparel retailer's stock worth $55,000 after acquiring an additional 1,944 shares during the last quarter. Institutional investors own 97.33% of the company's stock.

American Eagle Outfitters Company Profile

American Eagle Outfitters, Inc operates as a multi-brand specialty retailer in the United States and internationally. The company provides jeans, apparel and accessories, and personal care products for women and men under the American Eagle brand; and intimates, apparel, activewear, and swim collections under the Aerie and OFFLINE by Aerie brands.