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Trump Endorses American Eagle Ad Campaign, Boosts Shares
ByAinvest
Monday, Aug 4, 2025 8:02 pm ET1min read
American Eagle's shares have surged by double-digits on Monday, erasing four days of losses, after President Trump endorsed the company's polarizing ad campaign featuring actress Sydney Sweeney. Trump's support has boosted the brand's image and attracted new customers.
American Eagle Outfitters (AEO) experienced a significant boost in its stock price on Monday, July 2, 2025, after former President Donald Trump publicly endorsed the company's ad campaign featuring actress Sydney Sweeney. The endorsement, made on Trump's Truth Social platform, led to a 23.65% increase in AEO's stock value, with shares closing at $13.28 [1].The ad campaign, titled "Great Jeans," has been the subject of controversy due to its tagline, "Sydney Sweeney has great jeans," which some critics interpreted as promoting racial discrimination. Despite the backlash, Trump's support for the ad and the actress, who is a registered Republican, has drawn attention to the campaign and boosted the brand's image [2].
AEO's stock had been volatile since the ad campaign's launch in late July, but Monday's rally erased four days of losses. The stock hit a two-month high intraday and its largest percent increase since August 3, 2000 [3].
The endorsement has also sparked debate about the role of politics in marketing and the potential risks of aligning with polarizing figures. While the immediate result was a significant bump in AEO's stock price, long-term investors should remain cautious due to potential political backlash and earnings volatility [4].
References:
[1] https://www.foxbusiness.com/media/american-eagle-stock-jumps-sharply-following-trump-praise-sydney-sweeney-ad
[2] https://abcnews.go.com/GMA/Culture/trump-praises-sydney-sweeney-amid-american-eagle-jeans/story?id=124347376
[3] https://finance.yahoo.com/news/american-eagle-stock-surges-after-trump-weighs-in-on-viral-sydney-sweeney-ad-153140063.html
[4] https://inews.zoombangla.com/why-american-eagle-stock-skyrocketed-after-sydney-sweeney-ad-and-trump-endorsement/
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