Urban Outfitters (URBN) Outpaces Stock Market Gains: What You Should Know
The latest trading session saw Urban Outfitters (URBN) ending at $43.53, denoting a +0.88% adjustment from its last day's close. The stock outpaced the S&P 500's daily gain of 0.13%. Meanwhile, the Dow gained 0.13%, and the Nasdaq, a tech-heavy index, lost 0.32%.
Prior to today's trading, shares of the clothing and accessories retailer had gained 7.93% over the past month. This has outpaced the Retail-Wholesale sector's gain of 4.57% and the S&P 500's gain of 2.99% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Urban Outfitters in its upcoming earnings disclosure. The company's earnings report is set to go public on February 27, 2024. The company is forecasted to report an EPS of $0.71, showcasing an 82.05% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $1.49 billion, showing a 7.44% escalation compared to the year-ago quarter.
Investors should also pay attention to any latest changes in analyst estimates for Urban Outfitters. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Urban Outfitters presently features a Zacks Rank of #2 (Buy).
From a valuation perspective, Urban Outfitters is currently exchanging hands at a Forward P/E ratio of 12.32. This represents a discount compared to its industry's average Forward P/E of 15.09.
We can also see that URBN currently has a PEG ratio of 0.68. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Retail - Apparel and Shoes industry had an average PEG ratio of 1.69.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 151, finds itself in the bottom 41% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Urban Outfitters, Inc. (URBN) : Free Stock Analysis Report
