Celebrity influence reigns supreme. American Eagle Outfitters (AEO) has witnessed a remarkable surge in its stock value, directly linked to the impact of its recent advertising campaign featuring actress Sydney Sweeney. The “Sydney Sweeney Has Great Jeans” campaign, launched on July 23, 2025, has demonstrably boosted brand awareness, customer engagement, and new customer acquisition, according to company executives, despite a minor dip in overall sales for the second quarter.
American Eagle’s Stock Soars
The numbers speak for themselves. Following the release of its second-quarter earnings report on September 3 and 4, 2025, American Eagle’s stock experienced a dramatic climb. The stock soared by as much as 25% in after-hours trading and 23.5% overnight. This surge translated to an increase of approximately $500 million in the company’s market value.
Interestingly, this financial upswing occurred even as sales between May and July saw a slight decrease, moving from $1.29 billion to $1.28 billion. However, it’s important to note that American Eagle still comfortably surpassed revenue estimates, exceeding expectations by reporting $1.28 billion against an anticipated $1.23 billion.
The Sweeney Effect: Driving Brand Success
Campaign Details and Impact
The “Sydney Sweeney Has Great Jeans” campaign, while generating significant buzz, also sparked considerable controversy. The campaign, which played on the words “jeans” and “genes,” ignited public debate, with some interpreting it as promoting eugenic ideals. Despite the controversy, the campaign undeniably captured widespread attention and media coverage.
According to American Eagle CMO Craig Brommers, the Sweeney campaign generated an “astonishing 40 billion impressions.” Furthermore, the campaign attracted nearly 800,000 new customers, contributing to double-digit increases in denim sales. Specific items from the Sydney Sweeney collection, such as the denim jacket and “The Sydney Jean,” experienced rapid sell-outs, highlighting the campaign’s effectiveness in driving consumer demand.
Executive Perspectives
American Eagle CEO Jay Schottenstein directly attributed the company’s positive momentum to the success of marketing campaigns featuring Sydney Sweeney and Travis Kelce. He stated that the “fall season is off to a positive start, fueled by stronger product offerings and the success of recent marketing campaigns.” This statement underscores the significant role celebrity endorsements play in shaping consumer perception and driving sales.
Controversy and Amplification
The “Sydney Sweeney Has Great Jeans” campaign was not without its detractors. The wordplay between “jeans” and “genes” drew criticism, with some interpreting it as an endorsement of eugenic ideologies. This interpretation sparked heated debates across social media and various media outlets.
However, the controversy also served to amplify the campaign’s reach. Former President Donald Trump publicly defended Sweeney and the campaign, further fueling the discussion and drawing even more attention to American Eagle. This unexpected endorsement highlights the complex interplay between celebrity, politics, and marketing in the modern media landscape.
Beyond Celebrity: Underlying Factors
While the Sydney Sweeney campaign undoubtedly played a significant role in American Eagle’s recent success, it’s crucial to acknowledge other contributing factors. An improving profit margin, strategic store closures, and a share buyback announcement also contributed to increased investor confidence. These factors, combined with the celebrity-driven momentum, created a perfect storm for the company’s stock surge.
Navigating Future Challenges
Despite the current positive outlook, some analysts express caution regarding the long-term sustainability of the celebrity-driven momentum. They point to ongoing tariff impacts, which American Eagle anticipates will be significant in the coming quarters, as a potential challenge. These tariffs could impact the company’s profitability and potentially offset the gains achieved through the Sweeney campaign.
American Eagle, however, plans to build on its current momentum with continued marketing efforts, including further collaborations with figures like Travis Kelce. The company’s ability to navigate these challenges and sustain its growth will depend on its ability to adapt to changing market conditions and maintain a strong connection with its target audience.
The Celebrity Power Play
The surge in American Eagle’s stock, driven by the Sydney Sweeney campaign, underscores the undeniable power of celebrity endorsements in today’s market. The campaign’s ability to generate significant buzz, attract new customers, and drive sales demonstrates the potential impact of strategic partnerships between brands and influential figures. While challenges remain, American Eagle’s experience serves as a valuable case study for companies seeking to leverage celebrity influence to achieve their business objectives. The success shows that smart marketing, even with controversy, can pay off handsomely.