BofA lowered the firm’s price target on American Eagle (AEO) to $18 from $21 and keeps a Neutral rating on the shares after the company reported positive holiday results with Q4-to-date comps up by low-single digits. Following the update, the firm is raising its Q4 EPS view by 3c to 52c to reflect a stronger than expected gross margin, but lowering its multiple and price target to reflect a rerating lower in peer multiples.
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Read More on AEO:
- American Eagle price target lowered to $18 from $20 at Telsey Advisory
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- American Eagle price target lowered to $20 from $23 at JPMorgan