Traders Buy Large Volume of Call Options on American Eagle Outfitters (NYSE:AEO)

American Eagle Outfitters, Inc. (NYSE:AEO) saw some unusual options trading on Tuesday. Stock investors acquired 17,703 call options on the company. This represents an increase of approximately 95% compared to the typical volume of 9,066 call options.

Analyst Ratings Changes

Several research firms have weighed in on AEO. Bank of America lowered their target price on American Eagle Outfitters from $18.00 to $13.00 and set a “neutral” rating on the stock in a report on Friday, March 14th. Citigroup set a $13.00 price objective on shares of American Eagle Outfitters and gave the company a “neutral” rating in a research report on Tuesday, March 11th. Barclays downgraded American Eagle Outfitters from an “overweight” rating to an “equal weight” rating and decreased their price target for the stock from $17.00 to $10.00 in a research note on Tuesday, March 11th. JPMorgan Chase & Co. cut their target price on American Eagle Outfitters from $19.00 to $15.00 and set a “neutral” rating on the stock in a research note on Thursday, March 13th. Finally, BMO Capital Markets restated a “market perform” rating and set a $15.00 price target (down from $19.00) on shares of American Eagle Outfitters in a research report on Tuesday, March 11th. Eleven research analysts have rated the stock with a hold rating and one has issued a buy rating to the stock. According to data from MarketBeat, American Eagle Outfitters has a consensus rating of “Hold” and a consensus target price of $16.00.

Insider Buying and Selling at American Eagle Outfitters

In related news, Director Cary D. Mcmillan sold 2,999 shares of the business’s stock in a transaction dated Thursday, January 16th. The stock was sold at an average price of $16.02, for a total value of $48,043.98. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. 7.30% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the stock. Blue Trust Inc. increased its holdings in American Eagle Outfitters by 95.7% during the fourth quarter. Blue Trust Inc. now owns 1,916 shares of the apparel retailer’s stock worth $32,000 after buying an additional 937 shares during the last quarter. Huntington National Bank raised its holdings in shares of American Eagle Outfitters by 258.8% in the 4th quarter. Huntington National Bank now owns 2,045 shares of the apparel retailer’s stock valued at $34,000 after purchasing an additional 1,475 shares during the period. Principal Securities Inc. lifted its stake in American Eagle Outfitters by 2,239.1% in the 4th quarter. Principal Securities Inc. now owns 2,573 shares of the apparel retailer’s stock valued at $43,000 after purchasing an additional 2,463 shares during the last quarter. Park Place Capital Corp bought a new position in American Eagle Outfitters during the fourth quarter worth about $45,000. Finally, State of Wyoming bought a new stake in American Eagle Outfitters in the fourth quarter valued at approximately $49,000. Institutional investors and hedge funds own 97.33% of the company’s stock.

American Eagle Outfitters Price Performance

AEO stock traded up $0.58 during midday trading on Tuesday, hitting $12.20. The company’s stock had a trading volume of 5,152,621 shares, compared to its average volume of 4,873,946. The stock has a market capitalization of $2.10 billion, a P/E ratio of 10.39, a PEG ratio of 0.82 and a beta of 1.57. The company’s fifty day moving average price is $13.84 and its 200 day moving average price is $16.99. American Eagle Outfitters has a twelve month low of $10.74 and a twelve month high of $26.25.

American Eagle Outfitters Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, April 25th. Shareholders of record on Friday, April 11th will be paid a $0.125 dividend. The ex-dividend date is Friday, April 11th. This represents a $0.50 dividend on an annualized basis and a yield of 4.10%. American Eagle Outfitters’s dividend payout ratio is 29.76%.

About American Eagle Outfitters

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.