NEW YORK (TheStreet) -- Shares of American Eagle Outfitters (AEO) are gaining by 5.40% to $16.59 at the start of trading on Wednesday morning, after the teen and young adult apparel and accessories retailer posted better than expected earnings results for the 2015 first quarter.
American Eagle said its earnings were 15 cents per diluted share, compared to the 12 cents per share analysts were looking for.
Revenue for the most recent quarter grew by 8% year-over-year to $700 million versus the $692 million analysts had forecast.
Consolidated comparable sales for the first quarter increased by 7%, compared to a 10% decrease from the same period in the prior year.
For the current quarter American Eagle is expecting earnings to be between 11 cents and 14 cents per share. Analysts are anticipating earnings of 11 cents for the second quarter.
"Our strong first quarter results reflected outstanding merchandise and customer-focused execution. Both AE and aerie performed well, achieving higher sales and earnings, proving successful in a price promotional retail climate. We will continue to raise the bar by offering great product quality, innovation, style and value," the company's interim CEO Jay Schottenstein said in a statement.
"Across the organization, we are focused on the market opportunity to leverage our competitive strengths in merchandising, new technologies and capabilities to gain further market share and deliver earnings growth," Schottenstein added.
Separately, TheStreet Ratings team rates AMERN EAGLE OUTFITTERS INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: