American Eagle Outfitters's 15min chart signals bearish momentum with KDJ Death Cross, Marubozu.

American Eagle Outfitters' 15-minute chart has recently triggered a KDJ Death Cross, accompanied by a bearish Marubozu pattern at 09/26/2025 12:00. This indicates a shift in the stock's momentum towards a downtrend, with potential for further decline in the stock price. Sellers currently dominate the market, and it is likely that the bearish momentum will continue.

American Eagle Outfitters, Inc. (AEO) has recently experienced a significant shift in its stock momentum, as indicated by a KDJ Death Cross accompanied by a bearish Marubozu pattern on September 26, 2025, at 12:00. This technical analysis suggests a potential downtrend in the stock price, with sellers currently dominating the market Can AEO's Brand Buzz & Store Revamp Keep the Momentum Going?^[1].

In the second quarter of fiscal 2025, AEO reported $1.28 billion in revenues, its second-highest second-quarter performance ever, while earnings per share climbed 15% year over year to 45 cents. The company attributed this growth to stronger traffic across channels, fueled by bold campaigns and better product assortments. However, the recent technical indicators suggest that the company may face challenges in maintaining this momentum Can AEO's Brand Buzz & Store Revamp Keep the Momentum Going?^[1].

AEO has been proactive in reshaping its store footprint to adapt to changing shopping habits. This year, the company plans to open about 30 Aerie and Offline locations and remodel 40-50 American Eagle stores, while also expecting to close 35-40 AE stores. This strategic move aims to ensure that its fleet is more productive and balanced with the growth of digital channels Can AEO's Brand Buzz & Store Revamp Keep the Momentum Going?^[1].

Despite the recent bearish indicators, AEO has shown resilience in its financial performance. The company has returned significant capital to its shareholders through dividends and share repurchases, totaling $276 million year to date. With cash reserves of $127 million and liquidity of around $400 million, management remains confident in balancing shareholder value creation with strategic reinvestment Can AEO's Brand Buzz & Store Revamp Keep the Momentum Going?^[1].

The company's innovation efforts, such as the successful Aerie brand rebound and star-studded collaborations, have been instrumental in driving growth. However, the recent technical indicators suggest that investors should remain cautious, as the bearish momentum may continue to impact the stock price.

Investors should closely monitor AEO's performance and the broader market conditions to make informed decisions. The company's ability to navigate the current challenges will be critical in determining its future trajectory.