American Eagle Outfitters, Inc. (AEO) vs Burlington Stores, Inc. (BURL)

American Eagle Outfitters, Inc. and Burlington Stores, Inc. are both Apparel Retail companies. Burlington Stores, Inc. is the larger, with a market value of $16.0B against $2.7B — 6.0× the size. American Eagle Outfitters, Inc. trades at the lower P/E: 8.3× against 22.9×. Burlington Stores, Inc. grew revenue faster over the last twelve months: 10.9% against 9.16%. American Eagle Outfitters, Inc. has the higher net margin (5.86% vs 5.85%) and the lower return on invested capital (16.8% vs 19.3%). Across the 21 metrics below, American Eagle Outfitters, Inc. leads on 14 and Burlington Stores, Inc. on 7.

Valuation

Metric AEO BURL Apparel Retail median
P/E 8.29 22.86 12.56
P/S 0.48 1.31 0.35
P/B 1.57 8.00 1.57
Price to free cash flow 8.06 38.85 11.15
EV/EBITDA 4.00 11.94 7.42
EV/Sales 0.47 1.41 0.51
Earnings yield 12.06% 4.37% 5.76%
Free cash flow yield 12.40% 2.57% 4.34%

Profitability

Metric AEO BURL Apparel Retail median
Gross margin 40.54% 44.58% 41.90%
Operating margin 7.79% 8.11% 2.50%
Net margin 5.86% 5.85% 3.41%
Free cash flow margin 5.97% 3.37% 2.86%
Return on equity 20.37% 41.41% 7.71%
Return on assets 8.08% 7.38% 2.85%
Return on invested capital 16.77% 19.27% 6.41%

Growth

Metric AEO BURL Apparel Retail median
Revenue growth (TTM) 9.16% 10.89% 4.14%
EPS growth (last fiscal year) (35.12%) 21.92% —
Revenue growth, 5-year CAGR 8.09% 14.95% 5.92%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AEO BURL Apparel Retail median
Debt to equity 0.03 0.96 0.01
Current ratio 1.59 1.17 1.54
Net debt to EBITDA (0.53) 0.66 (0.29)

Dividend

Metric AEO BURL Apparel Retail median
Dividend yield 2.01% — 2.94%
Payout ratio 0.19 0.00 0.00

Size

Metric AEO BURL Apparel Retail median
Market cap 2.69b 16.01b 358.41m

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