Shaun Currie, CFA
Long/short equity, hedge fund analyst, momentum

American Eagle Outfitters: Risk/Reward Now Becomes Too Compelling To Ignore

American Eagle Outfitter: Risk/Reward Now Becomes Too Compelling To Ignore

It's been a rough start to the year for American Eagle Outfitters (NYSE:AEO) - from the sudden departure of CEO Robert Hanson (who was loved by Wall Street, and someone who I thought had done a great job over his tenure), to weak Q4 results and similarly weak guidance for 2014. But, as I have noted before, investing in the teen retail space right now is all about one thing - whether or not a company can weather the current storm. I don't believe that every teen retailer will make it through this tough period, so companies that can retain market share and/or have the cost levers necessary...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details