The most recent trading session ended with American Eagle Outfitters (AEO) standing at $16.64, reflecting a -0.83% shift from the previouse trading day's closing. This change lagged the S&P 500's 0.92% gain on the day. Meanwhile, the Dow gained 0.31%, and the Nasdaq, a tech-heavy index, added 2.03%.

The teen clothing retailer's stock has climbed by 2.32% in the past month, falling short of the Retail-Wholesale sector's gain of 4.85% and outpacing the S&P 500's gain of 0.81%.

Market participants will be closely following the financial results of American Eagle Outfitters in its upcoming release. The company is expected to report EPS of $0.50, down 18.03% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.61 billion, down 3.95% from the prior-year quarter.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.70 per share and a revenue of $5.34 billion, representing changes of +11.84% and +1.42%, respectively, from the prior year.

Any recent changes to analyst estimates for American Eagle Outfitters should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 1.27% higher. As of now, American Eagle Outfitters holds a Zacks Rank of #3 (Hold).

Looking at its valuation, American Eagle Outfitters is holding a Forward P/E ratio of 9.88. This expresses a discount compared to the average Forward P/E of 16.13 of its industry.

One should further note that AEO currently holds a PEG ratio of 1.06. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Retail - Apparel and Shoes industry was having an average PEG ratio of 1.52.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 43, positioning it in the top 18% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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