American Eagle Outfitters (FRA:AFG) Moat Score: 5/10 (As of Jun. 30, 2026)


FRA:AFG American Eagle Outfitters Inc FRA:AFG
79 GF Score
Price €14.77
GF Value €18.48
Valuation Modestly Undervalued
! 1 Warning Sign
View Full Analysis

What is American Eagle Outfitters Moat Score?

American Eagle Outfitters FRA:AFG -5.32% 79 Moat Score is 5 as of Jun. 30, 2026. GuruFocus rates FRA:AFG with a GF Score™ of 79/100 and a GF Value™ of €18.48 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,118 Retail - Cyclical companies, American Eagle Outfitters ranks better than 94.81% on this metric.

American Eagle Outfitters has the Moat Score of 5, which implies that the company might have Narrow Moat - Solid narrow moat.

American Eagle Outfitters has Narrow Moat: AEO has a solid narrow moat with strong brand recognition and customer loyalty in the apparel sector. However, it faces intense competition and lacks significant pricing power or proprietary technology to ensure a wider moat.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes American Eagle Outfitters might have Narrow Moat - Solid narrow moat.


American Eagle Outfitters  (FRA:AFG) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

American Eagle Outfitters Moat Score Related Terms


FRA:AFG vs BKE, ANF, CRI: Moat Score Comparison

For the Apparel Retail subindustry, American Eagle Outfitters's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


American Eagle Outfitters Moat Score vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, American Eagle Outfitters's Moat Score distribution charts can be found below:

* The bar in red indicates where American Eagle Outfitters's Moat Score falls into.


FRA:AFG
79GF Score
American Eagle Outfitters Inc FRA:AFG
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis
Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 5 mean?
American Eagle Outfitters (FRA:AFG) has a Moat Score of 5 as of Jun. 30, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, American Eagle Outfitters ranks #58 out of 1118 companies in the Retail - Cyclical industry, placing it in the top 5.2%.
Is American Eagle Outfitters' Moat Score too high?
American Eagle Outfitters' current Moat Score is 5. Based on the distribution chart, American Eagle Outfitters ranks #58 out of 1118 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, American Eagle Outfitters has a GF Score™ of 79/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does American Eagle Outfitters' Moat Score compare to BKE and ANF?
According to the Retail - Cyclical industry distribution chart, American Eagle Outfitters ranks #58 out of 1118 companies for Moat Score. This places American Eagle Outfitters in the top 5% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Retail - Cyclical company?
A good Moat Score depends on the Retail - Cyclical industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. American Eagle Outfitters's current Moat Score is 5. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Eagle Outfitters stock overvalued right now?
Based on GuruFocus' analysis, American Eagle Outfitters (FRA:AFG) is currently considered Modestly Undervalued. The stock's GF Value™ is €18.48, compared to a current price of €14.77 — trading 20.1% below its estimated fair value. The current Moat Score is 5. American Eagle Outfitters' overall GF Score™ is 79/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For American Eagle Outfitters (FRA:AFG), the current Moat Score is 5 as of Jun. 30, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is American Eagle Outfitters (FRA:AFG) Overvalued in 2026?

Based on GuruFocus' analysis, American Eagle Outfitters stock appears to be undervalued. The current stock price of €14.77 is trading 20.1% below its estimated GF Value™ of €18.48. GuruFocus considers American Eagle Outfitters to be Modestly Undervalued.

Key valuation signals for FRA:AFG:

  • Moat Score: 5
  • GF Value™: €18.48 vs. price of €14.77 (20.1% below fair value)
  • GF Score™: 79/100 with 1 warning sign

No single metric tells the full story. See the FRA:AFG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


American Eagle Outfitters Business Description

Address 77 Hot Metal Street, Pittsburgh, PA, USA, 15203-2329
American Eagle Outfitters Inc is a specialty retailer. The company is engaged in the retail of apparel and accessories with company stores in the United States, Canada, Mexico, and Hong Kong. The Company leases all store premises, regional distribution facilities, some of its office space, and certain information technology and office equipment. American Eagle also has its online business. It operates in two segments: American Eagle and Aerie. The majority of its revenue comes from its primary brand, American Eagle, which offers an assortment of specialty apparel, accessories, and personal care products for women and men. Geographically, it generates the majority of its revenue from the United States.
79GF Score

Get the complete analysis for FRA:AFG

Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€14.77
Price
€18.48
GF Value