MW Taylor Swift has the power to boost stocks. Now her fiancé Travis Kelce does too.

By Bill Peters

American Eagle's stock jumps after collaboration with Travis Kelce - a day after the football star and Taylor Swift announced their engagement, lifting Signet's shares

Taylor Swift and Travis Kelce announced their engagement on Instagram earlier this week.

Taylor Swift's effect on different parts of the nation's economy - from Ticketmaster and hotels to Lyft rides and Boot Barn (BOOT) - was well documented during her "Eras" tour. On Wednesday, at least, those powers appeared to rub off on her fiance, Travis Kelce.

Shares of American Eagle Outfitters Inc. $(AEO)$ jumped 5.3% on Wednesday after the denim maker and retailer announced a limited-edition collaboration with Tru Kolors, a sportswear and lifestyle clothing line created by the Kansas City Chiefs star.

The gains for American Eagle arrived a day after Signet Jewelers Ltd.'s stock $(SIG)$ got nudged higher following Swift and Kelce's announcement of their engagement on Instagram. Signet's stock was up 3.2% on Wednesday.

In a statement on Wednesday, Kelce said he started Tru Kolors in 2019. The collaboration between the two brands - which will launch under the name AE x Tru Kolors by Travis Kelce - was "[m]ore than a year in the making," American Eagle said.

That collection will launch in two drops, on Aug. 27 and Sept. 24, with more than 90 items - including heavyweight T-shirts, varsity jackets, cashmere sets and cricket sweaters - running between $14.95 and $179.95, according to American Eagle's announcement. The collaboration will also get support from athletes including Anna Frey, Azzi Fudd, Drew Allar, Jeremiah Smith and Kiyan Anthony, the announcement said.

Other brands this year have also announced big tie-ups with celebrity brands, as they navigate tariffs, fashion cycles that have been accelerated by influencers, and years of sluggish demand from consumers dealing with higher costs of living. However, celebrities aren't always a guaranteed solution for brands.

Nike Inc. $(NKE)$ in February joined forces with Kim Kardashian. E.l.f. Beauty Inc. $(ELF)$ in May agreed to buy Rhode, a beauty brand founded by influencer Hailey Bieber, for $1 billion.

American Eagle's collaboration with Kelce arrives after its "great jeans" advertising campaign, launched last month with actress Sydney Sweeney, led to backlash from progressives who accused the company of endorsing eugenics, followed by a backlash from conservatives. Early data, at least, showed that campaign had yet to translate into foot traffic and market-share gains.

BofA analysts this week also said the Sweeney campaign was unlikely to cure American Eagle's longer-term issues. They added that American Eagle and its Aerie brand were in "tough positions to navigate tariffs" with little pricing power.

American Eagle's stock is still down 23.3% so far this year.

-Bill Peters

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August 27, 2025 12:37 ET (16:37 GMT)

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