American Eagle Outfitters saw its stock soar nearly 24% in a single day, marking its biggest gain since August 2000. The unexpected boost came after former President Donald Trump praised the brand’s new ad featuring Sydney Sweeney. Posting on Truth Social, Trump called the campaign “hot” and said the jeans were “flying off the shelves,” sparking a frenzy among retail investors and meme stock enthusiasts.
The ad, titled “Sydney Sweeney Has Great Jeans,” went viral even before Trump’s endorsement, generating buzz for its wordplay. However, the phrase sparked criticism, with some accusing it of having racial or eugenic undertones by suggesting “great genes.” American Eagle quickly clarified that the message was about confidence and denim, not lineage, doubling down on their marketing strategy.
Despite the stock’s sudden rise, American Eagle has been struggling in 2025. Shares were down around 20% for the year before this campaign, and the company had withdrawn guidance in May due to weak retail demand and rising tariff-related costs. Still, the ad’s impact—combined with Trump’s loud support—temporarily overshadowed those headwinds and brought attention back to the brand.
Analysts remain cautious, but some believe the company’s strong gross margins and viral momentum could sustain interest if backed by better fundamentals. With price targets around $14–15 and retail sentiment heating up, American Eagle’s flashy rebound could turn into something more than just a political aftershock. Only time will tell if this denim-fueled rally lasts.
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