The market expects Urban Outfitters (URBN) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended April 2025. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be rele ...

Core Viewpoint - Urban Outfitters Inc. (URBN) is identified as a compelling value play in the Retail-Apparel and Shoes industry, trading at a forward price-to-earnings ratio of 10.99, which is below the industry average of 15.74 and the Retail-Wholesale sector average of 23.01, indicating potential for investors seeking attractive entry points [1][2] Valuation Perspective - URBN's shares are currently trading 15.3% below its 52-week high of $61.16, reached on March 3, 2025, while the stock has gained 32% in the past six months, outperforming the industry's decline of 10.2% [4] - The company closed the trading session at $51.82, trading above its 50 and 200-day simple moving averages of $51.33 and $46.53, respectively, indicating a continued uptrend and positive market sentiment [7][8] Performance Across Segments - In the fourth quarter of fiscal 2025, Urban Outfitters achieved strong sales growth in its Retail segment, with comparable sales rising across all brands, particularly Anthropologie, which recorded an 8.3% year-over-year growth driven by digital sales [9] - The Wholesale segment also performed well, with Free People Wholesale emphasizing full-price selling, leading to a significant increase in profitability, and FP Movement Wholesale sales surging over 90% year-over-year [11] - The rental subscription platform, Nuuly, saw net sales rise 78.4% year-over-year, with subscription revenues climbing 55.6%, and it achieved its first full year of profitability with $13 million in operating profit [12][13] Strategic Expansion - Urban Outfitters is focused on expanding its physical retail presence, planning to open 58 stores in fiscal 2026, including 20 FP Movement locations, 16 Free People stores, and 15 Anthropologie sites [14][15] - The company aims to scale FP Movement to 300 stores across North America, supported by strong brand momentum and sound financial results [17] Challenges - The core Urban Outfitters brand is facing challenges, with a 3.5% year-over-year decline in retail segment comps for the fiscal fourth quarter, particularly in North America where sales trends are weak [18] - Rising selling, general and administrative (SG&A) expenses increased 8.6% year-over-year to $402.4 million, primarily due to higher marketing costs and payroll expenses, with expectations for SG&A expenses to grow 7.1% to $1.56 billion in fiscal 2026 [19] Investment Outlook - Despite challenges with the core brand and rising operational costs, URBN presents potential investment opportunities due to its attractive valuation and growth in brands like Free People and Nuuly, along with strategic initiatives suggesting a positive long-term outlook [20][21]

Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Urban Outfitters (URBN) , which belongs to the Zacks Retail - Apparel and Shoes industry.When looking at the last two reports, this clothing and accessories retailer has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 23.13%, on average, in the last two quarters.For the most recent quarter, Urban Outfitters was e ...

Group 1 - Urban Outfitters, Inc. (NASDAQ: URBN) is initiated with a Strong Buy rating and a price target of $74.22, indicating a positive outlook for the company [1] - The company operates a diversified portfolio of lifestyle retail and wholesale brands targeting young adults and women, showcasing its broad market appeal [1] - Moretus Research emphasizes a structured approach to equity research, focusing on identifying companies with durable business models and mispriced cash flow potential [1] Group 2 - The research methodology combines rigorous fundamental analysis with a judgment-driven process, aiming to filter out noise and overly complex forecasting [1] - Valuation practices are based on sector-relevant multiples tailored to each company's business model, emphasizing comparability and simplicity [1] - Moretus Research aims to highlight underappreciated companies undergoing structural changes or temporary dislocations, which can lead to asymmetric returns [1]

Core Viewpoint - Urban Outfitters (URBN) and Deckers Outdoor Corporation (DECK) are competing in the Retail - Apparel and Shoes industry, each with distinct strategies and brand portfolios, facing similar challenges such as weather-related sales volatility and changing consumer preferences [1][2]. Urban Outfitters (URBN) - URBN has shown consistent performance across its diverse brand portfolio, including Anthropologie and Free People, with effective inventory management and merchandising strategies leading to higher margins [3]. - The Comparable Retail segment reported net sales growth of 8.3% for Anthropologie and 8% for Free People in the fourth quarter of fiscal 2025 [4]. - The Wholesale segment experienced strong growth, particularly driven by Free People's full-price selling strategy, while the Nuuly rental platform saw a 78.4% increase in net sales, achieving $13 million in operating profit for its first full year [5]. - URBN plans to open 58 new stores in fiscal 2026, focusing on high-productivity locations and aiming to expand FP Movement to 300 stores across North America [6]. - For fiscal 2026, URBN anticipates mid-single-digit sales growth, with positive retail comps expected at Free People and Anthropologie [7]. - Nuuly is projected to achieve double-digit revenue growth, supported by increasing subscriber numbers [8]. Deckers Outdoor Corporation (DECK) - DECK is experiencing growth through its UGG and HOKA brands, with UGG leading in the premium lifestyle footwear market and HOKA growing in the high-performance segment [9]. - DECK expects a 15% year-over-year increase in fiscal 2025 net sales to $4.9 billion, with HOKA projected to grow by 24% and UGG by 10% [10]. - The company is focusing on innovation, with new product releases for HOKA and diversification of UGG's offerings beyond winter footwear [11]. - International expansion is a key strategy for DECK, particularly in high-potential markets like China [12]. - The direct-to-consumer segment has seen significant growth, supported by strong digital performance and an expanding retail presence [13]. - DECK faces near-term challenges, including inventory constraints and rising costs, which may impact fiscal performance [14]. Comparative Analysis - The Zacks Consensus Estimate indicates URBN's fiscal 2026 sales and EPS growth of 6.6% and 14.5%, respectively, while DECK's fiscal 2025 estimates suggest 15.4% sales growth and 21% EPS growth [15][16]. - Stock performance has diverged, with DECK shares declining 36.6% over the past six months, while URBN shares have increased by 42.8% [17]. - Valuation metrics show URBN's forward P/E at 10.61X, below its three-year median, while DECK's forward P/E is at 16.23X, also below its median [18]. - URBN is viewed as a more attractive investment opportunity due to its diversified growth strategies and favorable valuation compared to DECK, which is currently facing operational pressures [22][23].

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Shares of Urban Outfitters Inc. (URBN) have risen 37.2% in the past six months against the Retail-Apparel and Shoes industry’s decline of 19.7%. Thanks to the strategic initiatives and operational efficiencies, Urban Outfitters has also outpaced the broader Retail-Wholesale sector and the S&P 500 index’s respective decline of 3.7% and 9.3% in the same period.URBN’s Past 6 Months’ Performance Image Source: Zacks Investment Research This growth is driven by the company’s strong Retail segment, improved mercha ...

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they beli ...

Urban Outfitters (URBN) shares ended the last trading session 16.7% higher at $50.45. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 20.3% loss over the past four weeks.U.S. stocks staged their biggest rally yesterday, after President Donald Trump announced a 90-day pause on reciprocal tariffs for all nations except China. Urban Outfitters presents a compelling case for investors due to a strong brand portfolio, s ...

Core Viewpoint - Growth investors are increasingly focused on stocks with above-average financial growth, and Urban Outfitters (URBN) is highlighted as a strong candidate due to its favorable growth metrics and Zacks Rank [2][10]. Earnings Growth - Urban Outfitters has a historical EPS growth rate of 75.4%, with projected EPS growth of 14.5% for the current year, surpassing the industry average of 13.6% [5][4]. Cash Flow Growth - The company exhibits a year-over-year cash flow growth of 22%, significantly higher than the industry average of -3.2%. Its annualized cash flow growth rate over the past 3-5 years stands at 9.1%, compared to the industry average of 4.4% [6][7]. Earnings Estimate Revisions - There has been a positive trend in earnings estimate revisions for Urban Outfitters, with the Zacks Consensus Estimate for the current year increasing by 2.3% over the past month [8]. Overall Assessment - Urban Outfitters has achieved a Growth Score of A and a Zacks Rank of 2, indicating its potential as an outperformer and a solid choice for growth investors [10].