American Eagle shares slide 7% premarket as soft guidance offsets earnings beat
American Eagle Outfitters Inc. shares slid 7% in premarket trade Wednesday, after the teen clothing retailer beat estimates for the second quarter but offered below-consensus guidance. The company said it had net income of $60.3 million, or 34 cents a share, in the quarter, up from $21.2 million, or 12 cents a share, in the year-earlier period. Revenue rose to $964.9 million from $844.6 million. Same-store sales rose 9%. The FactSet consensus was for EPS of 31 cents, revenue of $938 million and same-store sales growth of 6.4%. Chief Executive Jay Schottenstein said the numbers exceeded the company’s expectations, showing strength across all brands. The company is now expecting third-quarter EPS of 45 cents to 47 cents and same-store sales growth in the high-single digits. The FactSet consensus is for third-quarter EPS of 49 cents. Shares have gained 45.1% in 2018, while the S&P 500 has gained 8.4%.
Source : MTV
