US Stock Market Move | American Eagle Outfitters (AEO.US) surged over 32% in Q2 financial report, with multiple indicators far exceeding market expectations.

American Eagle Outfitters (AEO.US) stock price rose, as of the time of writing, the stock surged over 32%, reaching $18.02 per share. On the news front, TD Cowen raised the target price of the stock from $13 to $17, maintaining a "hold" rating. American Eagle Outfitters announced its second quarter 2025 results on Wednesday, with several indicators far exceeding market expectations: earnings per share reached $0.45, a significant increase from the expected $0.20; revenue was $1.28 billion, higher than the expected $1.23 billion. The company also simultaneously announced the reissuance of previously withdrawn annual performance guidance, expecting comparable sales to remain flat, better than analysts' expected 0.2% decline. However, the full-year revenue forecast was lowered from the original $360 million to $375 million to $255 million to $265 million, mainly due to the impact of tariff costs. Losses are expected to be $20 million in the third quarter and will expand to $40 million to $50 million in the fourth quarter.