Urban Outfitters (URBN) Advances While Market Declines: Some Information for Investors
The latest trading session saw Urban Outfitters (URBN) ending at $34.19, denoting a +1.33% adjustment from its last day's close. The stock outperformed the S&P 500, which registered a daily loss of 1.43%. Elsewhere, the Dow saw a downswing of 0.32%, while the tech-heavy Nasdaq depreciated by 2.43%.
The clothing and accessories retailer's shares have seen an increase of 5.57% over the last month, surpassing the Retail-Wholesale sector's loss of 2.31% and the S&P 500's loss of 1.55%.
The investment community will be closely monitoring the performance of Urban Outfitters in its forthcoming earnings report. The company is forecasted to report an EPS of $0.80, showcasing a 100% upward movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $1.26 billion, indicating a 7.15% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $3.21 per share and revenue of $5.11 billion, which would represent changes of +83.43% and +6.56%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Urban Outfitters. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.66% decrease. Urban Outfitters currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Urban Outfitters is currently trading at a Forward P/E ratio of 10.52. This expresses a discount compared to the average Forward P/E of 13.54 of its industry.
We can also see that URBN currently has a PEG ratio of 0.44. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Retail - Apparel and Shoes industry had an average PEG ratio of 1.32.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 150, which puts it in the bottom 41% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow URBN in the coming trading sessions, be sure to utilize Zacks.com.
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Urban Outfitters, Inc. (URBN) : Free Stock Analysis Report
