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New Delhi: American Eagle Outfitters (AEO) saw its stock price skyrocket by 23.65% on Monday, closing at $13.28 per share, following an endorsement from President Donald Trump.
The surge came after Trump took to his social media platform, Truth Social, to praise the retailer’s controversial ad campaign featuring actress Sydney Sweeney, calling it the “HOTTEST ad out there” and claiming the jeans are “flying off the shelves.”
The campaign, centred around the tagline “Sydney Sweeney Has Great Jeans,” plays on a double entendre linking Sweeney’s denim and her “great genes.” Featuring the ‘Euphoria’ and ‘White Lotus’ star in a series of provocative ads, including one where she leans over a Ford Mustang and another emphasising her blue eyes, the campaign has sparked intense debate.
Critics on platforms like X and TikTok have accused the ad of promoting eugenics through its wordplay on genetics, with some arguing it aligns with white nationalist messaging.
Meanwhile, conservative figures, including Trump, Vice President JD Vance, and Senator Ted Cruz, have championed the ad as a bold stand against “woke” culture, praising its celebration of traditional beauty standards.
Trump’s Monday post, which also noted Sweeney’s reported registration as a Republican in Florida, sent American Eagle’s stock soaring to a two-month high, marking its biggest single-day gain since 2000.
“Sydney Sweeney, a registered Republican, has the ‘HOTTEST’ ad out there. It’s for American Eagle, and the jeans are ‘flying off the shelves.’ Go get ‘em Sydney!” Trump wrote, contrasting the campaign with what he called “woke” marketing flops like Bud Light’s Dylan Mulvaney partnership and Jaguar’s diverse rebrand.
The endorsement fueled a rally that analysts describe as meme-stock territory, with retail traders piling in after the post gained traction.
However, the buzz comes against a backdrop of financial challenges for American Eagle. The retailer has struggled in 2025, with its stock down 21% year-to-date despite Monday’s gains. In May, the company reported a first-quarter net revenue of $1.1 billion, down 5% from the prior year, with comparable sales falling 3%.
American Eagle has defended the campaign, insisting it “is and always was about the jeans.” In a statement posted to Instagram last Friday, the company emphasised, “Her jeans. Her story. We’ll continue to celebrate how everyone wears their AE jeans with confidence, their way. Great jeans look good on everyone.”
The campaign also includes a charitable angle, with sales from “The Sydney Jean,” featuring a butterfly motif for domestic violence awareness, donated to the Crisis Text Line. Yet, it’s unclear whether the viral attention has translated into actual sales growth, as the company expects a 5% revenue decline this quarter.