Sales crumble at American Eagle Outfitters, shares dive

|About: American Eagle Outfitters... (AEO)|By:, SA News Editor

American Eagle Outfitters (AEO) reports comparable store sales fell 7% during Q2 as the retailer faced a "highly promotional" environment.

Gross profit as a percentage of sale fell 360 bps to 33.8%.

Inventory ended flat compared to last year.

Looking ahead to Q3, the company says the decline in traffic has continued and it expects to see EPS of $0.14 to $0.16.

AEO -9.5% premarket.