American Eagle Outfitters Inc (AEO)vsBurlington Stores Inc (BURL)
AEO
American Eagle Outfitters Inc
$16.44
-1.32%
CONSUMER CYCLICAL · Cap: $3.15B
BURL
Burlington Stores Inc
$317.05
-1.53%
CONSUMER CYCLICAL · Cap: $21.30B
Smart Verdict
WallStSmart Research — data-driven comparison
Burlington Stores Inc generates 111% more annual revenue ($11.91B vs $5.65B). BURL leads profitability with a 5.2% profit margin vs 5.0%. BURL appears more attractively valued with a PEG of 2.99. BURL earns a higher WallStSmart Score of 59/100 (C).
AEO
Buy51
out of 100
Grade: C-
BURL
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+10.7%
Fair Value
$26.70
Current Price
$16.44
$10.26 discount
Margin of Safety
-27.9%
Fair Value
$239.08
Current Price
$317.05
$77.97 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Every $100 of equity generates 34 in profit
Areas to Watch
5.0% margin — thin
Operating margin of 2.4%
Elevated debt levels
Weak financial health signals
Premium valuation, high expectations priced in
Trading at 10.7x book value
Grey zone — moderate risk
5.2% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : AEO
The strongest argument for AEO centers on P/E Ratio, Altman Z-Score, Price/Book.
Bull Case : BURL
The strongest argument for BURL centers on Return on Equity. Revenue growth of 14.1% demonstrates continued momentum.
Bear Case : AEO
The primary concerns for AEO are Profit Margin, Operating Margin, Debt/Equity. Thin 5.0% margins leave little buffer for downturns.
Bear Case : BURL
The primary concerns for BURL are P/E Ratio, Price/Book, Altman Z-Score. Debt-to-equity of 3.20 is elevated, increasing financial risk.
Key Dynamics to Monitor
BURL carries more volatility with a beta of 1.46 — expect wider price swings.
BURL is growing revenue faster at 14.1% — sustainability is the question.
AEO generates stronger free cash flow (-127M), providing more financial flexibility.
Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BURL scores higher overall (59/100 vs 51/100) and 14.1% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American Eagle Outfitters Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
American Eagle Outfitters, Inc. is a specialty retailer offering clothing, accessories, and personal care products under the American Eagle and Aerie brand names. The company is headquartered in Pittsburgh, Pennsylvania.
Burlington Stores Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Burlington Stores, Inc. is a branded apparel retailer in the United States. The company is headquartered in Burlington, New Jersey.
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