The American Eagle-Sydney Sweeney “nice denims” controversy has given strategy to Wall Road euphoria — due to President Donald Trump.
The clothes model’s inventory skyrocketed Monday after Trump praised the corporate’s denim advert that includes the “White Lotus” and “Anybody However You” star.
The corporate has come underneath fireplace from some social media customers for its “Sydney Sweeney Has Nice Denims” marketing campaign. Critics on X and TikTok have described the advert as selling “eugenics” for its wordplay on genetics.
Voices on the best celebrated the advert as a win in opposition to “woke” illustration in media. Trump added to that refrain Monday in a Reality Social submit Monday, calling it “the “HOTTEST” advert on the market.” Shares of American Eagle then surged; they have been up greater than 20% as of about 1 p.m. ET.
The advert marketing campaign makes use of a play on phrases to explain Sweeney’s “nice genes.” “Genes are handed down from mother and father to offspring, typically figuring out traits like hair coloration, persona and even eye coloration,” Sweeney says within the advert. “My denims are blue.”
In his Reality Social submit, Trump criticized “woke” promoting from corporations corresponding to Jaguar and Budweiser however mentioned Sweeney’s advert has led to denims “flying off the cabinets.” He additionally beforehand described Sweeney advert as “incredible” after being instructed the actress was a registered Republican.
NBC Information has reached out to Sweeney’s representatives for remark.
American Eagle didn’t instantly reply to a request for touch upon its inventory’s efficiency. Final week it mentioned the advert “is and all the time was concerning the denims.”
The retailer has underperformed to date in 2025. Even with Monday’s features, the inventory was down greater than 20% to date this yr. The corporate’s first-quarter outcomes missed expectations. It misplaced $85 million throughout the three-month interval that resulted in Could, with gross sales falling 3%.
And whereas Trump’s phrases are boosting the corporate’s inventory, his commerce insurance policies have threatened its revenue margins. Chief Monetary Officer Michael Mathias instructed buyers throughout a Could earnings name that tariffs would value the corporate $40 million as the corporate tries to mitigate their impacts.
The corporate additionally pulled its full-year monetary steerage in Could, citing financial uncertainty. On the time, retailer mentioned it anticipated gross sales to fall once more throughout the present quarter.