NEW YORK (TheStreet) -- Shares of American Eagle Outfitters Inc (AEO) are down -1.27% to $14.01 in afternoon trading as the retailer was downgraded by analysts at Standpoint Research to "hold" from "buy" this morning.
Abercrombie & Fitch reported that overall comparable store sales fell -7% in its second quarter earnings report this morning, primarily due to a -5% drop in the U.S. and a -9% fall in international stores.
TheStreet Ratings team rates AMERN EAGLE OUTFITTERS INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate AMERN EAGLE OUTFITTERS INC (AEO) a HOLD. The primary factors that have impacted our rating are mixed, some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. Among the primary strengths of the company is its solid financial position based on a variety of debt and liquidity measures that we have evaluated. At the same time, however, we also find weaknesses including a generally disappointing performance in the stock itself, deteriorating net income and disappointing return on equity."
Highlights from the analysis by TheStreet Ratings Team goes as follows: