Consolidated Statement of Operations (Income Statement)

Fiscal Year End Jan 31 of 2014 2015 2016

Total Net Revenue $ 3,305,802.00 $ 3,282,867.00 $ 3,521,848.00

Cost of Sales, including certain buying, occupancy and

warehousing expenses $ 2,191,803.00 $ 2,128,193.00 $ 2,219,114.00
Gross Profit $ 1,113,999.00 $ 1,154,674.00 $ 1,302,734.00
Selling, General and Admin expenses $ 796,505.00 $ 806,498.00 $ 834,700.00
Impairment and restructing charges $ - $ 17,752.00 $ -
Loss on Impairment of Assets $ 44,465.00 $ 33,468.00 $ -
Depreciation and Ameritzation Expense $ 131,974.00 $ 141,191.00 $ 148,156.00
Operating Income $ 141,055.00 $ 155,765.00 $ 319,878.00
Other income (expense), net $ 1,022.00 $ 3,737.00 $ 1,993.00
Earnings before Income Taxes $ 142,077.00 $ 159,502.00 $ 321,871.00
Provision for income taxes $ 59,094.00 $ 70,715.00 $ 108,580.00
Income From Continuing Operations $ 82,983.00 $ 88,787.00 $ 213,291.00
Discontinued Operations, Net of Tax $ - $ (8,465.00) $ 4,847.00
Net Income $ 82,983.00 $ 80,322.00 $ 218,138.00
Basic Net Income Per Common Share $ 0.43 $ 0.42 $ 1.12
Diluted Net Income Per Common Share $ 0.43 $ 0.42 $ 1.11
Weighed Average Common Shares Outstanding - Basic 192,802.00 194,437.00 194,351.00
Weighed Average Common Shares Outstanding - Diluted 194,475.00 195,135.00 196,237.00

Consolidated Statements of Comprehensive Income

(In Thousands)
Net Income $ 82,983.00 $ 80,322.00 $ 218,138.00
Other Comprehensive Gain (Loss) $ - $ - $ -
Foreign Currency Translation Gain (Loss) $ (17,140.00) $ (22,101.00) $ (19,924.00)
Other Comprehensive Gain (Loss) $ (17,140.00) $ (22,101.00) $ (19,924.00)
Comprehensive Income $ 65,843.00 $ 58,221.00 $ 198,214.00
e Statement)
2017 2018 2019
$ 3,609,865.00 $ 3,795,549.00 $ 4,035,720.00

$ 2,242,938.00 $ 2,425,044.00 $ 2,548,082.00

$ 1,366,927.00 $ 1,370,505.00 $ 1,487,638.00
$ 857,562.00 $ 879,685.00 $ 980,610.00
$ 21,166.00 $ 20,611.00 $ 1,568.00
$ - $ - $ -
$ 156,723.00 $ 167,421.00 $ 168,331.00
$ 331,476.00 $ 302,788.00 $ 337,129.00
$ 3,786.00 $ (15,615.00) $ 7,971.00
$ 335,262.00 $ 287,173.00 $ 345,100.00
$ 122,813.00 $ 83,010.00 $ 83,198.00
$ 212,449.00 $ 204,163.00 $ 261,902.00
$ - $ - $ -
$ 212,449.00 $ 204,163.00 $ 261,902.00
$ 1.17 $ 1.15 $ 1.48
$ 1.16 $ 1.13 $ 1.47
181,429.00 177,938.00 176,476.00
183,835.00 180,156.00 178,035.00

e Income

$ 212,449.00 $ 204,163.00 $ 261,902.00

$ - $ - $ -
$ (6,594.00) $ 5,667.00 $ (4,037.00)
$ (6,594.00) $ 5,667.00 $ (4,037.00)
$ 205,855.00 $ 209,830.00 $ 257,865.00
American Eagle Outfitters, INC.

Consolidated Balance Sheet (In Thousands)

Fiscal Year End Jan 31 of 2014 2015
Assets
Current Assets
Cash and Cash Equivalent $ 418,933.00 $ 410,697.00
Short Term Investment $ 10,002.00 $ -
Merchandise inventory $ 291,541.00 $ 278,972.00
Accounts Receivable (net) $ 73,882.00 $ 67,894.00
Prepaid Expenses and other $ 88,155.00 $ 73,848.00
Current Deffered Income Tax $ 45,478.00 $ 59,102.00
Total Current Assets $ 927,991.00 $ 890,513.00
PPE and net of Accumulated Depreciation $ 632,986.00 $ 694,856.00
Intangible Assets, net of accumulated amortization $ 49,271.00 $ 47,206.00
Goodwill $ 13,530.00 $ 13,096.00
Deffered Income Taxes (Non-Current) $ 24,835.00 $ 14,035.00
Other Assets $ 45,551.00 $ 37,202.00
Total Assets $ 1,694,164.00 $ 1,696,908.00
Liability and Stockholder Equity
Current Liability
Accounts Payable $ 203,872.00 $ 191,146.00
Accrued Compensation on Payroll Taxes $ 23,560.00 $ 44,884.00
Accrued Rent $ 76,397.00 $ 78,567.00
Acrrued Income and Other Taxes $ 5,778.00 $ 33,110.00
Unredeemed Gift Cards and Gift Certificates $ 47,194.00 $ 47,888.00
Current Portion of Deffered Lease Credits $ 13,293.00 $ 12,969.00
Other Liabilities and Accrued Expenses $ 45,384.00 $ 50,529.00
Total Current Liabilities $ 415,478.00 $ 459,093.00
Non-Current Liabilities
Deffered Lease Credits $ 59,510.00 $ 54,516.00
Non-Current Liabilities $ 16,543.00 $ 10,456.00
Other Non-current Liabilities $ 36,455.00 $ 33,097.00
Total Non-Current Liabilities $ 112,508.00 $ 98,069.00
Commitment and Contingencies
Stockholders Equity
Prefered Stock
Common Stock $ 2,496.00 $ 2,496.00
Contributed Capital $ 573,008.00 $ 569,675.00
Accumulated Other Comprehensive Loss, Net of Tax $ 12,157.00 $ (9,944.00)
Retained Earnings $ 1,569,851.00 $ 1,543,085.00
Treasury Stockholders Equity $ (991,334.00) $ (965,566.00)
Total Stockholders Equity $ 1,166,178.00 $ 1,139,746.00
Total Liabilities and Stockholder Equity $ 1,694,164.00 $ 1,696,908.00
Total Liabilities $ 527,986.00 $ 557,162.00
Average Share Price $ 12.73 $ 16.21
t (In Thousands)
2016 2017 2018 2019

$ 260,067.00 $ 378,613.00 $ 413,613.00 $ 333,330.00

$ - $ - $ - $ 92,135.00
$ 305,178.00 $ 358,446.00 $ 398,213.00 $ 424,404.00
$ 80,912.00 $ 86,634.00 $ 78,304.00 $ 93,477.00
$ 77,218.00 $ 77,536.00 $ 78,400.00 $ 102,907.00
$ - $ - $ - $ -
$ 723,375.00 $ 901,229.00 $ 968,530.00 $ 1,046,253.00
$ 703,586.00 $ 707,797.00 $ 724,239.00 $ 742,149.00
$ 51,832.00 $ 49,373.00 $ 46,666.00 $ 43,268.00
$ 17,186.00 $ 14,887.00 $ 15,070.00 $ 14,899.00
$ 64,927.00 $ 49,250.00 $ 9,344.00 $ 14,062.00
$ 51,340.00 $ 60,124.00 $ 52,464.00 $ 42,747.00
$ 1,612,246.00 $ 1,782,660.00 $ 1,816,313.00 $ 1,903,378.00

$ 182,789.00 $ 246,204.00 $ 236,703.00 $ 240,671.00

$ 79,302.00 $ 54,184.00 $ 54,324.00 $ 82,173.00
$ 77,482.00 $ 78,619.00 $ 83,312.00 $ 89,076.00
$ 22,223.00 $ 12,220.00 $ 12,781.00 $ 20,064.00
$ 48,274.00 $ 52,966.00 $ 52,347.00 $ 53,997.00
$ 12,711.00 $ 12,780.00 $ 11,203.00 $ 9,974.00
$ 40,901.00 $ 36,810.00 $ 34,551.00 $ 46,690.00
$ 463,682.00 $ 493,783.00 $ 485,221.00 $ 542,645.00

$ 50,104.00 $ 45,114.00 $ 47,977.00 $ 47,377.00

$ 4,566.00 $ 4,537.00 $ 7,269.00 $ 3,547.00
$ 42,518.00 $ 34,657.00 $ 29,055.00 $ 22,254.00
$ 97,188.00 $ 84,308.00 $ 84,301.00 $ 73,178.00

$ 2,496.00 $ 2,496.00 $ 2,496.00 $ 2,496.00

$ 590,820.00 $ 603,890.00 $ 593,770.00 $ 574,929.00
$ (29,868.00) $ (36,462.00) $ (30,795.00) $ (34,832.00)
$ 1,659,267.00 $ 1,775,775.00 $ 1,883,592.00 $ 2,054,654.00
$ (1,171,339.00) $ (1,141,130.00) $ (1,202,272.00) $ (1,309,692.00)
$ 1,051,376.00 $ 1,204,569.00 $ 1,246,791.00 $ 1,287,555.00
$ 1,612,246.00 $ 1,782,660.00 $ 1,816,313.00 $ 1,903,378.00
$ 560,870.00 $ 578,091.00 $ 569,522.00 $ 615,823.00
$ 16.35 $ 13.68 $ 21.79 $ 18.66
American Eagle Outfitters, INC.
Income statement
USD, (in thousands, except per share data)
Historical
FY Ending in 2015 2016 2017 2018

Balance Sheet

Cash & cash equivalents $ 410,697.00 $ 260,067.00 $ 378,613.00 $ 413,613.00

Trade receivables $ 67,894.00 $ 80,912.00 $ 86,634.00 $ 78,304.00
Inventories $ 278,972.00 $ 305,178.00 $ 358,446.00 $ 398,213.00
Current deferred tax assets $ 59,102.00 $ - $ - $ -
Other current assets $ 73,848.00 $ 77,218.00 $ 77,536.00 $ 78,400.00
Surplus liquidity $ - $ - $ - $ -
Total Current Assets $ 890,513.00 $ 723,375.00 $ 901,229.00 $ 968,530.00
1.00 1.00 1.00 1.00
NON-CURRENT ASSETS

Property, plant and equipment $ 694,856.00 $ 703,586.00 $ 707,797.00 $ 724,239.00

Intangible assets $ 47,206.00 $ 51,832.00 $ 49,373.00 $ 46,666.00
Minority equity investments $ - $ - $ - $ -
Non-current deferred tax assets $ 14,035.00 $ 64,927.00 $ 49,250.00 $ 9,344.00
Other non-current assets $ 50,298.00 $ 68,526.00 $ 75,011.00 $ 67,534.00
Total Non-Current Assets $ 806,395.00 $ 888,871.00 $ 881,431.00 $ 847,783.00
TOTAL ASSETS $ 1,696,908.00 $ 1,612,246.00 $ 1,782,660.00 $ 1,816,313.00
$ 1.00 $ 1.00 $ 1.00 $ 1.00
CURRENT LIABILITIES

Trade payables $ 191,146.00 $ 182,789.00 $ 246,204.00 $ 236,703.00

Other current liabilities $ 267,947.00 $ 280,893.00 $ 247,579.00 $ 248,518.00
Short-term debt $ - $ - $ - $ -
Overdraft $ - $ - $ - $ -
Total Current Liabilities $ 459,093.00 $ 463,682.00 $ 493,783.00 $ 485,221.00
1.00 1.00 1.00 1.00
NON-CURRENT LIABILITIES

Newly Issued Debt

Long-term debt $ - $ - $ - $ -
Non-current deferred tax liabilities $ - $ - $ - $ -
Other non-current liabilities $ 98,069.00 $ 97,188.00 $ 84,308.00 $ 84,301.00
Total Long-term Liabilities $ 98,069.00 $ 97,188.00 $ 84,308.00 $ 84,301.00
TOTAL LIABILITIES $ 557,162.00 $ 560,870.00 $ 578,091.00 $ 569,522.00
1.00 1.00 1.00 1.00
SHAREHOLDERS' EQUITY

Ordinary Shareholders' equity $ (393,395.00) $ (578,023.00) $ (534,744.00) $ (606,006.00)

Retained Earnings $ 1,543,085.00 $ 1,659,267.00 $ 1,775,775.00 $ 1,883,592.00
Other comprehensive income $ (9,944.00) $ (29,868.00) $ (36,462.00) $ (30,795.00)
TOTAL EQUITY $ 1,139,746.00 $ 1,051,376.00 $ 1,204,569.00 $ 1,246,791.00
1.00 1.00 1.00 1.00
Non-controlling Interests $ - $ - $ - $ -
TOTAL LIABILITIES AND EQUITY $ 1,696,908.00 $ 1,612,246.00 $ 1,782,660.00 $ 1,816,313.00
1 1 1 1

Use debt plug and

Total Assets - Cash

All Liabilities and Equity - short term debt

Excess Cash
 Forecast
2019 2020 2021 2022 2023 2024

$ 333,330.00 $ 354,422.13 $ 376,848.90 $ 400,694.77 $ 426,049.54 $ 453,008.68

$ 93,477.00 $ 99,391.95 $ 105,681.17 $ 112,368.36 $ 119,478.69 $ 127,038.95
$ 424,404.00 $ 658,642.69 $ 700,319.63 $ 744,633.77 $ 791,751.97 $ 841,851.67
$ - $ - $ - $ - $ - $ -
$ 195,042.00 $ 207,383.67 $ 220,506.29 $ 234,459.27 $ 249,295.16 $ 265,069.81
$ - $ - $ - $ - $ - $ -
$ 1,046,253.00 $ 1,319,840.44 $ 1,403,356.00 $ 1,492,156.17 $ 1,586,575.36 $ 1,686,969.10
1.00

$ 742,149.00 $ 789,109.97 $ 839,042.49 $ 892,134.59 $ 948,586.21 $ 1,008,609.91

$ 43,268.00 $ 43,268.00 $ 43,268.00 $ 43,268.00 $ 43,268.00 $ 43,268.00
$ - $ - $ - $ - $ - $ -
$ 14,062.00 $ 14,951.80 $ 15,897.91 $ 16,903.88 $ 17,973.51 $ 17,973.51
$ 57,646.00 $ 61,293.67 $ 65,172.15 $ 69,296.05 $ 73,680.89 $ 78,343.20
$ 857,125.00 $ 908,623.44 $ 963,380.55 $ 1,021,602.52 $ 1,083,508.60 $ 1,148,194.61
$ 1,903,378.00 $ 2,228,463.88 $ 2,366,736.54 $ 2,513,758.69 $ 2,670,083.96 $ 2,835,163.72
$ 1.00

$ 240,671.00 $ 255,899.94 $ 272,092.53 $ 289,309.73 $ 307,616.38 $ 327,081.43

$ 301,974.00 $ 321,082.01 $ 341,399.12 $ 363,001.84 $ 385,971.51 $ 410,394.64
$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ 542,645.00 $ 576,981.95 $ 613,491.65 $ 652,311.57 $ 693,587.89 $ 737,476.06
1.00

$ (233,007.83) $ (333,341.02) $ (439,602.19) $ (552,120.51) $ (672,377.30)

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ 73,178.00 $ 73,178.00 $ 73,178.00 $ 73,178.00 $ 73,178.00 $ 73,178.00
$ 73,178.00 $ 73,178.00 $ 73,178.00 $ 73,178.00 $ 73,178.00 $ 73,178.00
$ 615,823.00 $ 650,159.95 $ 686,669.65 $ 725,489.57 $ 766,765.89 $ 810,654.06
1.00

RE +Stock + TS
$ (732,267.00) $ (732,267.00) $ (732,267.00) $ (732,267.00) $ (732,267.00) $ (732,267.00)
$ 2,054,654.00 $ 2,228,554.85 $ 2,413,389.06 $ 2,609,848.47 $ 2,818,668.68 $ 3,040,631.86
$ (34,832.00) $ (39,398.22) $ (44,563.04) $ (50,404.93) $ (57,012.65) $ (64,486.59)
$ 1,287,555.00 $ 1,456,889.63 $ 1,636,559.02 $ 1,827,176.54 $ 2,029,389.03 $ 2,243,878.27
1.00
$ - $ - $ - $ - $ - $ -
$ 1,903,378.00 $ 2,107,049.58 $ 2,323,228.67 $ 2,552,666.11 $ 2,796,154.93 $ 3,054,532.33
1 $ (121,414.30) $ (43,507.88) $ 38,907.41 $ 126,070.97 $ 219,368.61

$ (121,414,298.65)

$ 1,874,041.75 $ 1,989,887.64 $ 2,113,063.92 $ 2,244,034.42 $ 2,382,155.03

$ 1,874,041.75 $ 1,989,887.64 $ 2,113,063.92 $ 2,244,034.42 $ 2,382,155.03

$ 388,436.36 $ 413,015.45 $ 439,149.83 $ 466,937.92 $ 496,484.36

 Horizontal analysis
2014 2015 2016 2017 2018 2019 2020 2021 2022

-36.68% 45.58% 9.24% -19.41%

19.17% 7.07% -9.62% 19.38%
9.39% 17.45% 11.09% 6.58%
-100.00% #DIV/0! #DIV/0! #DIV/0!
4.56% 0.41% 1.11% 148.78%

-18.77% 24.59% 7.47% 8.02%

1.26% 0.60% 2.32% 2.47%

9.80% -4.74% -5.48% -7.28%
#DIV/0! #DIV/0! #DIV/0! #DIV/0!
362.61% -24.15% -81.03% 50.49%
36.24% 9.46% -9.97% -14.64%
10.23% -0.84% -3.82% 1.10%
-4.99% 10.57% 1.89% 4.79%

-4.37% 34.69% -3.86% 1.68%

4.83% -11.86% 0.38% 21.51%
#DIV/0! #DIV/0! #DIV/0! #DIV/0!
#DIV/0! #DIV/0! #DIV/0! #DIV/0!
1.00% 6.49% -1.73% 11.83%

#DIV/0! #DIV/0! #DIV/0! #DIV/0!

#DIV/0! #DIV/0! #DIV/0! #DIV/0!
-0.90% -13.25% -0.01% -13.19%
-0.90% -13.25% -0.01% -13.19%
0.67% 3.07% -1.48% 8.13%

46.93% -7.49% 13.33% 20.83%

 7.53% 7.02% 6.07% 9.08%
200.36% 22.08% -15.54% 13.11%
-7.75% 14.57% 3.51% 3.27%

#DIV/0! #DIV/0! #DIV/0! #DIV/0!

-4.99% 10.57% 1.89% 4.79%
 Vertical analysis
2023 2014 2015 2016 2017 2018 2019 2020 2021 2022

24.20% 16.13% 21.24% 22.77% 17.51%

4.00% 5.02% 4.86% 4.31% 4.91%
16.44% 18.93% 20.11% 21.92% 22.30%
3.48% 0.00% 0.00% 0.00% 0.00%
4.35% 4.79% 4.35% 4.32% 10.25%

52.48% 44.87% 50.56% 53.32% 54.97%

40.95% 43.64% 39.70% 39.87% 38.99%

2.78% 3.21% 2.77% 2.57% 2.27%
0.00% 0.00% 0.00% 0.00% 0.00%
0.83% 4.03% 2.76% 0.51% 0.74%
2.96% 4.25% 4.21% 3.72% 3.03%
47.52% 55.13% 49.44% 46.68% 45.03%
100.00% 100.00% 100.00% 100.00% 100.00%

11.26% 11.34% 13.81% 13.03% 12.64%

15.79% 17.42% 13.89% 13.68% 15.87%
0.00% 0.00% 0.00% 0.00% 0.00%
0.00% 0.00% 0.00% 0.00% 0.00%
27.05% 28.76% 27.70% 26.71% 28.51%

0.00% 0.00% 0.00% 0.00% 0.00%

0.00% 0.00% 0.00% 0.00% 0.00%
5.78% 6.03% 4.73% 4.64% 3.84%
5.78% 6.03% 4.73% 4.64% 3.84%
32.83% 34.79% 32.43% 31.36% 32.35%

-23.18% -35.85% -30.00% -33.36% -38.47%

90.94% 102.92% 99.61% 103.70% 107.95%
-0.59% -1.85% -2.05% -1.70% -1.83%
67.17% 65.21% 67.57% 68.64% 67.65%

0.00% 0.00% 0.00% 0.00% 0.00%

100.00% 100.00% 100.00% 100.00% 100.00%
2023
American Eagle Outfitters, INC.
Income statement
USD, (in thousands, except per share data)

2014 2015 2016

Revenue $ 3,305,802.00 $ 3,282,867.00 $ 3,521,848.00

Cost of goods sold $ 2,191,803.00 $ 2,128,193.00 $ 2,219,114.00
Gross profit $ 1,113,999.00 $ 1,154,674.00 $ 1,302,734.00
Selling, General and Administrative expense $ 796,505.00 $ 806,498.00 $ 834,700.00
Research & Development expense $ - $ - $ -
Other income $ (1,022.00) $ (3,737.00) $ (1,993.00)
Other expense $ 44,465.00 $ 51,220.00 $ -
Total operating expenses (excl. D&A) $ 839,948.00 $ 853,981.00 $ 832,707.00
EBITDA $ 274,051.00 $ 300,693.00 $ 470,027.00

Depreciation & Amortization $ 131,974.00 $ 141,191.00 $ 148,156.00

Operating Profit $ 142,077.00 $ 159,502.00 $ 321,871.00

Interest income $ - $ - $ -
Interest expense $ - $ - $ -
Other financial income (expense) $ (17,140.00) $ (30,566.00) $ (15,077.00)
Profit before tax $ 124,937.00 $ 128,936.00 $ 306,794.00

Tax expense $ 59,094.00 $ 70,715.00 $ 108,580.00

Net Income $ 65,843.00 $ 58,221.00 $ 198,214.00

1 1 1
 Forecast
2017 2018 2019 2020 2021 2022

$ 3,609,865.00 $ 3,795,549.00 $ 4,035,720.00 $ 4,291,088.30 $ 4,562,615.55 $ 4,851,324.23

$ 2,242,938.00 $ 2,425,044.00 $ 2,548,082.00 $ 2,709,317.02 $ 2,880,754.50 $ 3,063,040.04
$ 1,366,927.00 $ 1,370,505.00 $ 1,487,638.00 $ 1,581,771.29 $ 1,681,861.05 $ 1,788,284.19
$ 857,562.00 $ 879,685.00 $ 980,610.00 $ 1,042,660.07 $ 1,108,636.48 $ 1,178,787.69
$ - $ - $ - $ - $ - $ -
$ (3,786.00) $ 15,615.00 $ (7,971.00) $ (7,971.00) $ (7,971.00) $ (7,971.00)
$ 21,166.00 $ 20,611.00 $ 1,568.00 $ 1,568.00 $ 1,568.00 $ 1,568.00
$ 874,942.00 $ 915,911.00 $ 974,207.00 $ 1,036,257.07 $ 1,102,233.48 $ 1,172,384.69
$ 491,985.00 $ 454,594.00 $ 513,431.00 $ 545,514.22 $ 579,627.56 $ 615,899.50

$ 156,723.00 $ 167,421.00 $ 168,331.00 $ 172,493.73 $ 183,408.61 $ 195,014.16

$ 335,262.00 $ 287,173.00 $ 345,100.00 $ 373,020.49 $ 396,218.95 $ 420,885.34

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ (6,594.00) $ 5,667.00 $ (4,037.00) $ (4,037.00) $ (4,037.00) $ (4,037.00)
$ 328,668.00 $ 292,840.00 $ 341,063.00 $ 368,983.49 $ 392,181.95 $ 416,848.34

$ 122,813.00 $ 83,010.00 $ 83,198.00 $ 90,008.85 $ 95,667.82 $ 101,684.87

$ 205,855.00 $ 209,830.00 $ 257,865.00 $ 278,974.64 $ 296,514.13 $ 315,163.47

1 1 1
 Horizontal analysis
2023 2024 2014 2015 2016 2017 2018

$ 5,158,301.53 $ 5,484,703.44 -0.69% 7.28% 2.50% 5.14%

$ 3,256,860.06 $ 3,462,944.43 -2.90% 4.27% 1.07% 8.12%
$ 1,901,441.47 $ 2,021,759.01 3.65% 12.82% 4.93% 0.26%
$ 1,253,377.85 $ 1,332,687.86 1.25% 3.50% 2.74% 2.58%
$ - $ - #DIV/0! #DIV/0! #DIV/0! #DIV/0!
$ (7,971.00) $ (7,971.00) 265.66% -46.67% 89.96% -512.44%
$ 1,568.00 $ 1,568.00 15.19% -100.00% #DIV/0! -2.62%
$ 1,246,974.85 $ 1,326,284.86 1.67% -2.49% 5.07% 4.68%
$ 654,466.62 $ 695,474.15 9.72% 56.31% 4.67% -7.60%

$ 207,354.08 $ 220,474.82 6.98% 4.93% 5.78% 6.83%

$ 447,112.54 $ 474,999.33 12.26% 101.80% 4.16% -14.34%
#DIV/0! #DIV/0! #DIV/0! #DIV/0!
$ - $ -
$ - $ - #DIV/0! #DIV/0! #DIV/0! #DIV/0!
$ (4,037.00) $ (4,037.00) 78.33% -50.67% -56.26% -185.94%
$ 443,075.54 $ 470,962.33 3.20% 137.94% 7.13% -10.90%

$ 108,082.67 $ 114,885.30 19.67% 53.55% 13.11% -32.41%

$ 334,992.88 $ 356,077.03 -11.58% 240.45% 3.85% 1.93%

Horizontal analysis Vertical analysi
2019 2020 2021 2022 2023 2024 2014 2015 2016 2017

6.33% 6.33% 6.33% 6.33% 6.33% 6.33% 100.00% 100.00% 100.00% 100.00%
5.07% 6.33% 6.33% 6.33% 6.33% 6.33% 66.30% 64.83% 63.01% 62.13%
8.55% 6.33% 6.33% 6.33% 6.33% 6.33% 33.70% 35.17% 36.99% 37.87%
11.47% 6.33% 6.33% 6.33% 6.33% 6.33% 24.09% 24.57% 23.70% 23.76%
#DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! 0.00% 0.00% 0.00% 0.00%
-151.05% 0.00% 0.00% 0.00% 0.00% 0.00% -0.03% -0.11% -0.06% -0.10%
-92.39% 0.00% 0.00% 0.00% 0.00% 0.00% 1.35% 1.56% 0.00% 0.59%
6.36% 6.37% 6.37% 6.36% 6.36% 6.36% 25.41% 26.01% 23.64% 24.24%
12.94% 6.25% 6.25% 6.26% 6.26% 6.27% 8.29% 9.16% 13.35% 13.63%
0.00% 0.00% 0.00% 0.00%
0.54% 2.47% 6.33% 6.33% 6.33% 6.33% 3.99% 4.30% 4.21% 4.34%
20.17% 8.09% 6.22% 6.23% 6.23% 6.24% 4.30% 4.86% 9.14% 9.29%
#DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! 0.00% 0.00% 0.00% 0.00%
0.00% 0.00% 0.00% 0.00%
#DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! 0.00% 0.00% 0.00% 0.00%
-171.24% 0.00% 0.00% 0.00% 0.00% 0.00% -0.52% -0.93% -0.43% -0.18%
16.47% 8.19% 6.29% 6.29% 6.29% 6.29% 3.78% 3.93% 8.71% 9.10%
0.00% 0.00% 0.00% 0.00%
0.23% 8.19% 6.29% 6.29% 6.29% 6.29% 1.79% 2.15% 3.08% 3.40%
0.00% 0.00% 0.00% 0.00%
22.89% 8.19% 6.29% 6.29% 6.29% 6.29% 1.99% 1.77% 5.63% 5.70%
 Vertical analysis
2018 2019 2020 2021 2022 2023 2024

100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%

63.89% 63.14% 63.14% 63.14% 63.14% 63.14% 63.14%
36.11% 36.86% 36.86% 36.86% 36.86% 36.86% 36.86%
23.18% 24.30% 24.30% 24.30% 24.30% 24.30% 24.30%
0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
0.41% -0.20% -0.19% -0.17% -0.16% -0.15% -0.15%
0.54% 0.04% 0.04% 0.03% 0.03% 0.03% 0.03%
24.13% 24.14% 24.15% 24.16% 24.17% 24.17% 24.18%
11.98% 12.72% 12.71% 12.70% 12.70% 12.69% 12.68%
0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
4.41% 4.17% 4.02% 4.02% 4.02% 4.02% 4.02%
7.57% 8.55% 8.69% 8.68% 8.68% 8.67% 8.66%
0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
0.15% -0.10% -0.09% -0.09% -0.08% -0.08% -0.07%
7.72% 8.45% 8.60% 8.60% 8.59% 8.59% 8.59%
0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
2.19% 2.06% 2.10% 2.10% 2.10% 2.10% 2.09%
0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
5.53% 6.39% 6.50% 6.50% 6.50% 6.49% 6.49%
American Eagle Outfitters, INC.
Reorganizing Income statement and Balance sheet

Historical
FY ending in 2015 2016 2017 2018 2019

Revenues $ 3,305,802.00 $ 3,282,867.00 $ 3,521,848.00 $ 3,609,865.00 $ 3,795,549.00

Operating costs $ 3,032,773.00 $ 2,985,911.00 $ 3,053,814.00 $ 3,121,666.00 $ 3,325,340.00
Depreciation $ 131,974.00 $ 141,191.00 $ 148,156.00 $ 156,723.00 $ 167,421.00
Operating taxes $ 59,094.00 $ 70,715.00 $ 108,580.00 $ 122,813.00 $ 83,010.00
NOPLAT $ 81,961.00 $ 85,050.00 $ 211,298.00 $ 208,663.00 $ 219,778.00

Depreciation $ 131,974.00 $ 141,191.00 $ 148,156.00 $ 156,723.00 $ 167,421.00

Capital expenditure (from $ (195,823.00) $ (172,853.00) $ (165,869.00) $ (160,891.00) $ (252,145.00)
Net capital investment $ (63,849.00) $ (31,662.00) $ (17,713.00) $ (4,168.00) $ (84,724.00)
Working capital $ 431,420.00 $ 259,693.00 $ 407,446.00 $ 483,309.00 $ 503,608.00
NWC investment $ 171,727.00 $ (147,753.00) $ (75,863.00) $ (20,299.00)
Free cash flow $ 225,115.00 $ 45,832.00 $ 128,632.00 $ 114,755.00

Operating assets $ 1,632,575.00 $ 1,478,793.00 $ 1,658,399.00 $ 1,739,435.00 $ 1,831,670.00

Operating liabilities $ 459,093.00 $ 463,682.00 $ 493,783.00 $ 485,221.00 $ 542,645.00
Invested Capital $ 1,173,482.00 $ 1,015,111.00 $ 1,164,616.00 $ 1,254,214.00 $ 1,289,025.00

ROIC 7.77% 19.39% 17.25% 17.28%

American Eagle Outfitters, INC.
Key ratios

Historical
2014 2015 2016 2017

Growth rate
Revenue -0.69% 7.28% 2.50%
Net income -11.58% 240.45% 3.85%
Total assets -4.99% 10.57% 1.89%
Equity -7.75% 14.57% 3.51%

Profitability 1.8% 5.6% 5.7%

Gross margin 35.17% 36.99% 37.87%
EBITDA margin 9.16% 13.35% 13.63%

ROA 4.0% 3.4% 11.0%

ROE 6.0% 5.2% 16.2%
ROIC 5.8% 5.1% 16.0%

Receivables days 8.27 8.68 8.34

Inventory days 32.47 34.39 38.25
Payables days 20.79 22.23 24.41
Cash Conversion Cycle 19.96 20.84 22.18
Working capital / Revenues 7.91% 11.57% 13.39%
Inventory turnover 6.97 6.19 5.63

PP&E turnover 4.666 4.976 4.984

Equity ratio 65.21% 67.57% 68.64%

Interest coverage ratio #DIV/0! #DIV/0! #DIV/0!

Tax rate 54.8% 35.4% 37.4%

Current ratio 1.560 1.825 1.996

Quick ratio 0.735 0.942 1.014

Divident payout ratio 119.05% 44.67% 42.72%

Sustainable growth rate -1.15% 2.86% 9.26%

BVPS $ 5.41 $ 6.20 $ 6.87

Market Capitalization $ 3,152,193.20 $ 3,178,085.86 $ 2,481,132.29
Price to Book 3.00 2.64 1.99
Price to Earnings $ 54.14 $ 16.03 $ 12.05
Earnings Per Share $ 0.30 $ 1.02 $ 1.13
Price to Sales 0.9601952197 0.9023915448 0.6873199661
Enterprise value $ 3,355,808.20 $ 3,293,255.86 $ 2,552,740.29
EV/EBITDA 11.1602471634 7.0065248535 5.1886547141
 Forecast
2018 2019 2020 2021 2022 2023

5.14%
1.93%
4.79%
3.27%

5.5%
36.11%
11.98%

11.1%
16.2%
16.0%

8.26
39.55
22.95
24.86
13.27%
5.71

5.114

67.65%
#DIV/0!

28.3%

1.928
0.787

43.27%

9.22%

$ 7.24
$ 3,877,802.83
3.01
$ 18.48
$ 1.18
1.0216711295
$ 4,087,117.83
8.9906990281
 Formulas

Revenue growth yoy

Net income growth yoy
Total asset growth yoy
Equity growth yoy

Gross profit/Revenue
(Profit before tax + Interest expense + Depreciation)/ Revenue

Net profit / avg. Assets

Net profit / avg. Equity
Net profit / avg. Invested Capital

Average Accounts receivable * 365 / Revenues

Average Inventory * 365 / Cost of Sales
Average Accounts payable * 365 / Cost of Sales
Inventory days + Receivables days - Payables days
Working capital / Revenues
COGS / Inventories

Revenue / PP&E

Total equity/Total assets

Profit before interest and tax/Interest expense

Tax paid / EBIT

Current assets / current liabilities

Cash+Trade receivables / Current liabilities

Dividends paid / Profit = DPS/EPS

ROE * (1- Dividend payout ratio)

Net Income / Shares Outstanding

Total Shareholders Equity/ # of Shares Outstanding
Shares Outstanding *Average Share Price
Market Cap / Book Value of Equity
Average Share Price / EPS
Net Income / Shares Outstanding
Market Cap / Revenues
Market Value of Equity + Debt - Cash
 2015 2016 2017 2018
BVPS 5.407 6.198 6.872 7.236
Market Capitalization $ 3,152,193.20 $ 3,178,085.86 $ 2,481,132.29 $ 3,877,802.83
Price to Book 2.998 2.638 1.990 3.012
Price to Earnings $ 54.14 $ 16.03 $ 12.05 $ 18.48
Earnings Per Share $ 0.30 $ 1.02 $ 1.13 $ 1.18
Price to Sales 0.9601952197 0.9023915448 0.6873199661 1.0216711295
Enterprise value $ 3,355,808.20 $ 3,293,255.86 $ 2,552,740.29 $ 4,087,117.83
EV/EBITDA 11.1602471634 7.0065248535 5.1886547141 8.9906990281

Real Share Price $ 12.73 $ 16.21 $ 16.35 $ 13.68

stock price to book $ 16.21 $ 16.35 $ 13.68 $ 21.79
S&P w/ price to book $ 14.84 $ 17.31 $ 21.23 $ 23.19

CONCLUSION
AEO is currently priced below what the Price to book value would indicate.
AEO currently has a relatively low EV/EBIDA ratio
AEO has been consitently paying Dividends
AEO has a P/E below 23.07, the current S&P 500 value
This all indicated that AEO is currently undervalued and we give a recommendation to BUY

How did you calculate the Share price without the comparison with the competitors?
Or withoout the Peer Median?
 2014 2015 2016 2017 2018
AEO Average Share Price $ 12.73 $ 16.21 $ 16.35 $ 13.68 $ 21.79
S&P500 Average Share Price 1,931.38 2,061.07 2,094.65 2,449.08 2,746.21
S&P500 BVPS 716.1216 750.9136 750.0313 792.6467 857.0524
S&P500 Price to Book 2.697 2.74475 2.79275 3.08975 3.20425
S&P500 EPS 25.5775 21.6325 23.6375 27.47 33.0975
S&P500 Price to Sales 1.715 1.7725 1.885 2.08 2.0675

e competitors?
 2019 Price/book ratio EPS
$ 18.66 Dec. 31, 2018 2.944 2018 Dec. 31, 2018 28.96 2018
2,876.76 Sept. 30, 2018 3.454 3.20425 Sept. 30, 2018 36.36 33.0975
#DIV/0! 30-Jun-18 3.25 Average 30-Jun-18 34.05 Average
31-Mar-18 3.169 31-Mar-18 33.02
Dec. 31, 2017 3.235 2017 Dec. 31, 2017 26.96 2017
Sept. 30, 2017 3.081 3.08975 Sept. 30, 2017 28.45 27.47
30-Jun-17 3.034 Average 30-Jun-17 27.01 Average
31-Mar-17 3.009 31-Mar-17 27.46
Dec. 31, 2016 2.911 2016 Dec. 31, 2016 24.16 2016
Sept. 30, 2016 2.781 2.79275 Sept. 30, 2016 25.39 23.6375
30-Jun-16 2.743 Average 30-Jun-16 23.28 Average
31-Mar-16 2.736 31-Mar-16 21.72
Dec. 31, 2015 2.761 2015 Dec. 31, 2015 18.7 2015
Sept. 30, 2015 2.578 2.74475 Sept. 30, 2015 23.22 21.6325
30-Jun-15 2.804 Average 30-Jun-15 22.8 Average
31-Mar-15 2.836 31-Mar-15 21.81
Dec. 31, 2014 2.832 2014 Dec. 31, 2014 22.83 2014
Sept. 30, 2014 2.677 2.697 Sept. 30, 2014 27.47 25.5775
30-Jun-14 2.671 Average 30-Jun-14 27.14 Average
31-Mar-14 2.608 31-Mar-14 24.87
 Price/sales ratio
12/31/2018 1.87 2018
9/30/2018 2.2 2.0675
6/30/2018 2.1 Average
3/31/2018 2.1
12/31/2017 2.17 2017
9/30/2017 2.09 2.08
6/30/2017 2.04 Average
3/31/2017 2.02
12/31/2016 1.95 2016
9/30/2016 1.9 1.885
6/30/2016 1.86 Average
3/31/2016 1.83
12/31/2015 1.81 2015
9/30/2015 1.69 1.7725
6/30/2015 1.8 Average
3/31/2015 1.79
12/31/2014 1.77 2014
9/30/2014 1.71 1.715
6/30/2014 1.72 Average
3/31/2014 1.66
 Consolidated Statement of Cash Flows (In Thousands)
Fiscal Year End Jan 31 of 2014 2015 2016
Operating Activites:
Net Income $ 82,983.00 $ 80,322.00 $ 218,138.00
Gain (Loss) from Discontinued Operations, Net of Tax $ - $ 8,465.00 $ (4,847.00)
Income from Continuing Operations $ 82,983.00 $ 88,787.00 $ 213,291.00

Adjustments to Reconcile Net Income to Net Cash

Provided By Operating Activities
Depreciationg and Amortization $ 134,047.00 $ 142,351.00 $ 148,858.00
Share Based Compensation $ (6,541.00) $ 16,070.00 $ 34,977.00
Defferred Income Taxes $ 20,100.00 $ (2,279.00) $ 4,680.00
Foreign Currency Transaction Gain $ 1,378.00 $ (495.00) $ 2,977.00
Loss on Impairment of Assets $ 44,465.00 $ 33,468.00 $ -
Gain on Sale of Assets $ - $ - $ (9,422.00)
Changes in Assets and Liabilities
Merchandise Inventory $ 40,148.00 $ 8,586.00 $ (22,259.00)
Accounts Receivable $ (29,511.00) $ 3,084.00 $ (10,093.00)
Prepaid Expenses and Other $ (10,844.00) $ 14,282.00 $ (7,027.00)
Other Assets $ (36,089.00) $ 6,612.00 $ (10,017.00)
Accounts Payable $ 28,568.00 $ (5,280.00) $ (3,189.00)
Unredeemed Gift Cards and Gift Certificates $ 1,269.00 $ 1,238.00 $ 755.00
Deffered Lease Credits $ 583.00 $ (4,528.00) $ (4,099.00)
Accrued Compensation and Payroll Taxes $ (42,465.00) $ 20,716.00 $ 34,234.00
Accrued Income and Other Taxes $ (25,840.00) $ 24,826.00 $ (17,615.00)
Accrued Liabilities $ 27,605.00 $ (9,012.00) $ (14,133.00)
Total Adjustments $ 146,873.00 $ 249,639.00 $ 128,627.00
Net cash Provided by Operating Activites $ 229,856.00 $ 338,426.00 $ 341,918.00
Investing Activities:
Capital Expenditures For Propert and Equipment $ (278,499.00) $ (245,002.00) $ (153,256.00)
Acquisitions and Purchase of Long-Lived Assets in
Business Combination $ (20,751.00) $ - $ (10,442.00)
Purchases of Available - For -Sale Investment $ (52,065.00) $ - $ -
Sale of Available- For - Sale Investments $ 162,785.00 $ 10,002.00 $ -
Proceeds from Sale of Assets $ - $ - $ 12,579.00
Acquisition of Intangible Assets $ (6,835.00) $ (1,264.00) $ (2,382.00)
Net Cash Used For Investing Activities $ (195,365.00) $ (236,264.00) $ (153,501.00)
Financing Activites:
Payments on Capital Leases and Other $ (2,839.00) $ (7,143.00) $ (7,635.00)

Repurchases of Common Stock as Part of Publicly

Announced Programs $ (33,051.00) $ - $ (227,071.00)
Repurchase of Common Stock From Employees $ (23,386.00) $ (7,464.00) $ (5,163.00)
Net Proceeds from Stock Options Exercised $ 6,197.00 $ 7,305.00 $ 7,283.00
Excess Tax Benefit From Share-Based Payments $ 8,833.00 $ 742.00 $ 657.00
Cash Dividends $ (72,280.00) $ (97,224.00) $ (97,237.00)
Net Cash Used For Financing Activites $ (116,526.00) $ (103,784.00) $ (329,166.00)
Effect of Exchange Rates on Cash $ (8,151.00) $ (7,578.00) $ (3,076.00)
Cash Flows of Discontinued Operations $ - $ 963.00 $ (6,805.00)
Net Increase(Decrease) In Cash and Cash Equivalents $ (90,186.00) $ (8,237.00) $ (150,630.00)
Cash and Cash Equivalents - Beginning of Period $ 509,119.00 $ 418,933.00 $ 410,697.00
Cash and Cash Equivalents - End of Period $ 418,933.00 $ 410,697.00 $ 260,067.00
housands)
2017 2018 2019

$ 212,449.00 $ 204,163.00 $ 261,902.00

$ - $ - $ -
$ 212,449.00 $ 204,163.00 $ 261,902.00

$ 158,174.00 $ 169,473.00 $ 170,504.00

$ 29,137.00 $ 16,890.00 $ 27,506.00
$ 14,832.00 $ 44,312.00 $ (4,391.00)
$ (835.00) $ (5,616.00) $ (397.00)
$ 20,576.00 $ - $ 546.00
$ - $ - $ -

$ (53,613.00) $ (35,912.00) $ (28,496.00)

$ (7,705.00) $ 8,837.00 $ (14,093.00)
$ (332.00) $ (399.00) $ (3,367.00)
$ (6,705.00) $ 5,317.00 $ (4,746.00)
$ 52,347.00 $ (16,663.00) $ 4,329.00
$ 4,465.00 $ (874.00) $ 1,882.00
$ (5,229.00) $ 984.00 $ (1,829.00)
$ (25,809.00) $ 1,289.00 $ 28,043.00
$ (10,695.00) $ 565.00 $ 7,221.00
$ (15,467.00) $ 2,060.00 $ 12,031.00
$ 153,141.00 $ 190,263.00 $ 194,743.00
$ 365,590.00 $ 394,426.00 $ 456,645.00

$ (161,494.00) $ (169,469.00) $ (189,021.00)

$ - $ - $ -
$ - $ - $ (202,912.00)
$ - $ - $ 109,776.00
$ - $ - $ -
$ (1,528.00) $ (2,681.00) $ (672.00)
$ (163,022.00) $ (172,150.00) $ (282,829.00)

$ (4,375.00) $ (3,384.00) $ (6,802.00)

$ - $ (87,682.00) $ (144,405.00)
$ (7,032.00) $ (12,513.00) $ (19,668.00)
$ 16,260.00 $ 3,355.00 $ 15,495.00
$ 763.00 $ - $ -
$ (90,680.00) $ (88,548.00) $ (97,123.00) $ (105,073.79) $ (111,679.92) $ (118,704.06) $ (126,172.66)
$ (85,064.00) $ (188,772.00) $ (252,503.00)
$ 1,036.00 $ 1,496.00 $ (1,596.00)
$ - $ - $ -
$ 118,540.00 $ 35,000.00 $ (80,283.00)
$ 260,067.00 $ 378,613.00 $ 413,613.00
$ 378,613.00 $ 413,613.00 $ 333,330.00
$ (134,113.86)
American Eagle Outfitters, INC.
Discounted cash flow

2014 2015 2016 2017

Free Cash Flow to Firm $ 225,115.00 $ 45,832.00 $ 128,632.00

Discounted CF is missing completely!!

 2018 2019 2020 2021 2022 2023

$ 114,755.00