These Trendy Retail Shares Are Attracting Investing Eyes After Earnings

American Eagle Outfitters Inc. (NYSE:AEO) reported its results for the third quarter. Net income for American Eagle Outfitters Inc. rose to $52.4 million (27 cents per share) vs. $33 million (17 cents per share) in the same quarter a year earlier. This marks a rise of 58.8% from the year earlier quarter. Revenue rose 10.7% to $831.8 million from the year earlier quarter. AEO fell in line with the mean analyst estimate of 27 cents per share.

Jim O’Donnell, chief executive officer, said, “I am encouraged by our progress in the third quarter and the continued momentum into the holiday season. Strong top line growth is evidence of the success of our key item strategy and merchandise improvements. Looking ahead to 2012, we have tremendous opportunity to capitalize on the strength of our brands and drive future profitable growth.”

Competitors to Watch: The Gap Inc. (NYSE:GPS), Abercrombie & Fitch Co. (NYSE:ANF), The Buckle, Inc. (NYSE:BKE), Aeropostale, Inc. (NYSE:ARO), Urban Outfitters, Inc. (NASDAQ:URBN), Zumiez Inc. (NASDAQ:ZUMZ), The Gymboree Corporation (GYMB), dELiA*s, Inc. (NASDAQ:DLIA) and Pacific Sunwear of California, Inc. (NASDAQ:PSUN).

Aeropostale Inc. (NYSE:ARO) reported its results for the third quarter. Net income for Aeropostale Inc. fell to $24.1 million (30 cents per share) vs. $58.5 million (63 cents per share) a year earlier. This is a decline of 58.8% from the year earlier quarter. Revenue fell 1% to $596.5 million from the year earlier quarter. ARO beat the mean analyst estimate of 27 cents per share. It beat the average revenue estimate of $576.4 million.

Thomas P. Johnson, Chief Executive Officer, commented, “We are making incremental progress on our strategic initiatives by bringing more color and fashion to our merchandise assortment, managing our inventories appropriately and controlling our expenses carefully. However, we are not satisfied with our overall performance, and we remain cautious in our outlook. The retail environment remains incredibly promotional with many teen retailers increasing both the depth and breadth of their promotions. Additionally, unemployment remains high and there is continued uncertainty about the overall economic environment. Near-term we are focused on executing our holiday initiatives and long-term we remain committed to improving our financial performance as well as investing in future growth.”

Competitors to Watch: Pacific Sunwear of California, Inc. (NASDAQ:PSUN), Zumiez Inc. (NASDAQ:ZUMZ), Abercrombie & Fitch Co. (NYSE:ANF), American Eagle Outfitters (NYSE:AEO), Express, Inc. (NYSE:EXPR), The Gap Inc. (NYSE:GPS), The Buckle, Inc. (NYSE:BKE), Body Central Acquisition Corp. (NASDAQ:BODY), The Wet Seal, Inc. (NASDAQ:WTSLA), and Casual Male Retail Group, Inc. (NASDAQ:CMRG).

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