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  • 1 year ago
American Eagle stock is surging after Sydney Sweeney and Travis Kelce campaigns drove 700,000 new customers, 40 billion impressions, and record Labor Day sales. But looming tariffs could hit profits by $70 million in the second half of the year, leaving the retailer balancing hype with cost pressures.
Transcript
00:00Sidney Sweeney and Travis Kelsey are at the middle of a huge surge in American Eagle's stock price.
00:05In just six weeks, their campaigns drove over 700,000 new customers, 40 billion impressions,
00:12record-breaking Labor Day sales, and even jeans that sold out in a week.
00:17But here's the catch.
00:18Despite the hype, American Eagle says that tariffs could slam them with a $70 million hit in the second half of the year.
00:26The CFO admitted that number could have been $180 million without supply chain moves,
00:31so they're scrambling to keep margins intact.
00:34So, can celebrity collabs keep American Eagle soaring, or will tariffs drag the stock back down?
00:39Let me know what you think in the comments and follow Benzinga for more real-time market moves.
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