American Eagle Outfitters forecast third-quarter profit on earth expectations on Wednesday, partly due to lower-than-expected sales for its popular Aerie railroad of lingerie, sending its shares down nearly 8 percent.
Same-store on offers at Aerie rose 27 percent in the second quarter ended Aug 4, but missed Protection Street estimates for the first time in at least two years.
Analysts had count oned Aerie’s appeal among younger women to drive an average of 30 percent expansion in same-store sales in the quarter.
The company’s overall comparable sales manhandle estimates on strong demand for its namesake apparel in the back-to-school season.
Net gains rose to $60.3 million, or 34 cents per share, in the quarter, from $21.2 million, or 12 cents per allocate, a year earlier.
American Eagle forecast third-quarter earnings of give 45 cents to 47 cents per share, below the analyst undistinguished estimate of 49 cents per share, according to Thomson Reuters.
The convention’s shares have gained 45 percent in value this year, commencing nearly 20 percent in the last three months.