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American Eagle OutfittersFRA:AFG -4.62%80 5-Year Yield-on-Cost % is 6.66 as of Jul. 14, 2026, which is 7% above its 10-year median of 6.21. GuruFocus rates FRA:AFG with a GF Score™ of 80/100 and a GF Value™ of €18.60 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 582 Retail - Cyclical companies, American Eagle Outfitters ranks better than 78.69% on this metric.
The historical rank and industry rank for American Eagle Outfitters's 5-Year Yield-on-Cost % or its related term are showing as below:
FRA:AFG'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.81 Med: 6.21 Max: 18.48
Current: 6.66
During the past 13 years, American Eagle Outfitters's highest Yield on Cost was 18.48. The lowest was 0.81. And the median was 6.21.
FRA:AFG's 5-Year Yield-on-Cost % is ranked better than 78.69% of 582
companies
in the Retail - Cyclical industry
Industry Median: 3.27
vs FRA:AFG: 6.66
American Eagle Outfitters (FRA:AFG) 5-Year Yield-on-Cost % Explanation
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
American Eagle Outfitters 5-Year Yield-on-Cost % Related Terms
FRA:AFG vs BKE, ANF, CRI: 5-Year Yield-on-Cost % Comparison
For the Apparel Retail subindustry, American Eagle Outfitters's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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 5-Year Yield-on-Cost % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, American Eagle Outfitters's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where American Eagle Outfitters's 5-Year Yield-on-Cost % falls into.
American Eagle Outfitters 5-Year Yield-on-Cost % Calculation
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
American Eagle Outfitters (FRA:AFG) has a 5-Year Yield-on-Cost % of 6.66 as of Jul. 14, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on American Eagle Outfitters and its competitors. This is near median its historical median of 6.21. Over the past decade, American Eagle Outfitters' 5-Year Yield-on-Cost % has ranged from 0.81 to 18.48. According to the industry distribution chart, American Eagle Outfitters ranks #124 out of 582 companies in the Retail - Cyclical industry, placing it in the top 21.3%.
Is American Eagle Outfitters' 5-Year Yield-on-Cost % too high?
American Eagle Outfitters' current 5-Year Yield-on-Cost % of 6.66 is near median its 10-year median of 6.21. Over the past 10 years, this metric has ranged from a low of 0.81 to a high of 18.48. The Retail - Cyclical industry median 5-Year Yield-on-Cost % is 3.27. American Eagle Outfitters' value of 6.66 is 103.7% above this industry median. Based on the distribution chart, American Eagle Outfitters ranks #124 out of 582 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 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does American Eagle Outfitters' 5-Year Yield-on-Cost % compare to BKE and ANF?
According to the Retail - Cyclical industry distribution chart, American Eagle Outfitters ranks #124 out of 582 companies for 5-Year Yield-on-Cost %. This places American Eagle Outfitters in the top 21% of its industry — outperforming the majority of peers. The industry median 5-Year Yield-on-Cost % is 3.27. American Eagle Outfitters' value of 6.66 is 103.7% above this benchmark. Historically, American Eagle Outfitters' own 5-Year Yield-on-Cost % has ranged from 0.81 to 18.48 over the past decade. While the company's 10-year median is 6.21 vs. the industry median of 3.27, American Eagle Outfitters has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Retail - Cyclical company?
The median 5-Year Yield-on-Cost % among Retail - Cyclical companies is 3.27, based on 582 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. American Eagle Outfitters's current 5-Year Yield-on-Cost % of 6.66 is 103.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on American Eagle Outfitters and its competitors. For the Retail - Cyclical industry, the median 5-Year Yield-on-Cost % is 3.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Eagle Outfitters's current 5-Year Yield-on-Cost % is 6.66, which is near median its own 10-year median of 6.21. 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 €18.60, compared to a current price of €13.93 — trading 25.1% below its estimated fair value. The current 5-Year Yield-on-Cost % is 6.66, which is near median its 10-year median of 6.21 and 103.7% above the Retail - Cyclical industry median of 3.27. American Eagle Outfitters' overall GF Score™ is 80/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For American Eagle Outfitters (FRA:AFG), the current 5-Year Yield-on-Cost % is 6.66 as of Jul. 14, 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 €13.93 is trading 25.1% below its estimated GF Value™ of €18.60.
GuruFocus considers American Eagle Outfitters to be Modestly Undervalued.
Key valuation signals for FRA:AFG:
5-Year Yield-on-Cost %: 6.66 (near median its 10-year median of 6.21)
GF Value™: €18.60 vs. price of €13.93 (25.1% below fair value)
Industry Position: 103.7% above the Retail - Cyclical median (#124 of 582)
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 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.
80GF Score
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