Urban Outfitters (URBN) Suffers a Larger Drop Than the General Market: Key Insights
Urban Outfitters (URBN) ended the recent trading session at $41.40, demonstrating a -1.94% swing from the preceding day's closing price. The stock's performance was behind the S&P 500's daily loss of 1.37%. Meanwhile, the Dow experienced a drop of 1.35%, and the technology-dominated Nasdaq saw a decrease of 1.8%.
Shares of the clothing and accessories retailer have appreciated by 7.95% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 6.07% and the S&P 500's gain of 5.1%.
Market participants will be closely following the financial results of Urban Outfitters in its upcoming release. The company plans to announce its earnings on February 27, 2024. The company is predicted to post an EPS of $0.71, indicating an 82.05% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $1.49 billion, indicating a 7.44% upward movement from the same quarter last year.
Investors should also note any recent changes to analyst estimates for Urban Outfitters. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 0.09% rise in the Zacks Consensus EPS estimate. Currently, Urban Outfitters is carrying a Zacks Rank of #2 (Buy).
From a valuation perspective, Urban Outfitters is currently exchanging hands at a Forward P/E ratio of 12.05. This indicates a discount in contrast to its industry's Forward P/E of 14.87.
We can additionally observe that URBN currently boasts a PEG ratio of 0.67. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Retail - Apparel and Shoes industry held an average PEG ratio of 1.65.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 106, positioning it in the top 43% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Urban Outfitters, Inc. (URBN) : Free Stock Analysis Report
