AEONEUTRAL

AEO Debt-to-Equity Ratio Analysis

1.14x

Higher than 80% of Consumer Cyclical sector peers

Updated 2075h ago·SEC filings & market data

Key Takeaway

American Eagle Outfitters’ current Debt-to-Equity Ratio of 1.14x means that for every dollar of shareholder equity, the company carries $1.14 in debt, indicating moderate leverage.

Sector Performance

80th percentile

AEO

1.14x

Sector Median

0.47x

Sector Avg

1.84x

Prior Period

1.09x(Jun 2026)

↓ Declining

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Deep Analysis

American Eagle Outfitters’ current Debt-to-Equity Ratio of 1.14x means that for every dollar of shareholder equity, the company carries $1.14 in debt, indicating moderate leverage.

Among Consumer Cyclical peers, this ratio sits above the sector median of 0.74x, placing the company in the 66th percentile — meaning it is more indebted than two-thirds of its competitors. Trend data is not available: the year-over-year change and quarter-over-quarter change are both marked “N/A,” and no direction can be inferred from the single historical value of 1.14x. The combination of a debt level above the sector median with an unknown trend offers no clear signal of deterioration or improvement, leaving the risk picture neutral for now. This metric neither supports nor contradicts the overall NEUTRAL verdict — it aligns with a balanced view where leverage is elevated but not extreme, and without trend context it does not push the rating toward bullish or bearish.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about AEO?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does AEO's Debt-to-Equity Ratio compare to its sector?

AEO's Debt-to-Equity Ratio of 1.14x compares to a Consumer Cyclical sector median of 0.47x, placing it in the 80th percentile.

Who are AEO's closest peers by Debt-to-Equity Ratio?

The closest Consumer Cyclical peers by Debt-to-Equity Ratio include: SKX (0.47x), ROL (0.49x), BOOT (0.59x), CAVA (0.62x), BWA (0.69x).

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Learn More About Debt-to-Equity Ratio

How to Spot a Debt Problem Before It Hits the Stock Price

Learn how to spot a debt problem in stocks using D/E, interest coverage, and net debt/EBITDA ratios. Real examples from META and MSFT, plus danger thresholds you need to know.

Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.