Trump Praise Sends American Eagle Stock Surging After Sydney Sweeney Ad Sparks Debate

Shares of American Eagle Outfitters jumped about 24 percent on Monday after former President Donald Trump posted on Truth Social declaring the retailer’s new Sydney Sweeney denim campaign “the hottest ad out there.” He added that the jeans are “flying off the shelves” and encouraged her followers to “go get ’em, Sydney.”
The advertisement, released in late July, features Sweeney in denim attire and centers on a pun linking “genes” and “jeans.” In one scene she remarks, “Genes are passed down from parents… My jeans are blue,” followed by the narrator’s catchline, “Sydney Sweeney has great jeans.” Critics argued the wording and visual focus on her blue eyes and light hair echoed problematic references to genetic superiority. Some online commentators labeled those elements as reminiscent of eugenic or white supremacist messaging.
Initial public reaction was mixed. Several celebrities including Lizzo and Doja Cat posted satirical commentaries, while media outlets questioned whether American Eagle had mishandled a sensitive aesthetic. Still, the company defended the campaign on Instagram, stating it has “always been about the jeans. Her jeans. Her story.” and insisted that “Great jeans look good on everyone”.
On Monday morning, Trump amplified attention by reposting a story about Sweeney’s Republican voter registration. He commented that learning she was registered with the Republican Party made him “love her ad,” and contrasted American Eagle’s messaging with what he described as “woke” advertising from brands such as Jaguar and Bud Light. That praise coincided with the stock climbing sharply, closing at approximately $13.28 per share and raising the company’s value to roughly $2.3 billion. Analysts noted this marked American Eagle’s largest single-day percentage gain since 2000.
Some industry watchers connected the surge to broader trends in meme stock activity driven by retail traders on platforms like Reddit, X, and StockTwits. They observed that Trump’s endorsement amplified interest just as the stock was recovering from a previous dip after a July rally began to fade. Others flagged that despite today’s jump, AEO shares remain down nearly 20 percent year to date following weaker sales and reduced guidance issued in May.
American Eagle reported a first‑quarter operating loss of around $75 million and withdrew its full‑year outlook. Comparable sales were down about five percent and gross margin had dropped significantly from the previous quarter. Against that backdrop, retail momentum fueled by social media and political commentary offered a sudden reversal for the struggling brand.
Republican figures including Vice President J.D. Vance and Senator Ted Cruz echoed support for the campaign amid the backlash. Sweeney herself has not issued a public statement regarding the controversy.
Several commentators compared the pattern to previous high‑profile ad misfires. Analysts referenced campaigns such as Pepsi’s Kendall Jenner spot in 2017 and Bud Light’s 2023 partnership with transgender influencer Dylan Mulvaney, both of which sparked controversy and hurt market value. In those cases, backlash triggered declines, whereas here public debate coincided with a rally triggered by political approval.
American Eagle’s denim campaign intersected with politics and pop culture to produce a volatile response. Trump’s endorsement drove share prices upward, overshadowing criticism that the ad had invited sensitive debate over language tied to genes. What emerges is a snapshot of how a single social media post from a high-profile figure can reshape investor sentiment and propel a fashion retailer into the spotlight once again.