Urban Outfitters, Inc. [NASDAQ:URBN]: Analyst Rating and Earnings
Professional stock traders oftentimes make sure they verify what some leading Wall Street voices have to say about a potential buy. Currently, in relation to Urban Outfitters, Inc. [URBN], the latest Wall Street average recommendation we can view is from the fiscal quarter that will be ending in the month of January. On average, stock market experts give URBN an Outperform rating. Its stock price has been found in the range of 27.60 to 52.50. This is compared to its latest closing price of $31.52.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Urban Outfitters, Inc. [URBN] is sitting at 2.43. This is compared to 1 month ago, when its average rating was 2.52.
For the quarter ending in Jan-19 Urban Outfitters, Inc. [URBN] generated $1.13 billion in sales. That’s 1.36% lower than the average estimate of $1.14 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Keep on the lookout for this organization’s next scheduled financial results, which are expected to be made public on Tue 28 May (In 42 Days).
Fundamental Analysis of Urban Outfitters, Inc. [URBN]
Now let’s turn to look at profitability: with a current Operating Margin for Urban Outfitters, Inc. [URBN] sitting at +9.74 and its Gross Margin at +34.18, this company’s Net Margin is now 7.50%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 27.59, and its Return on Invested Capital has reached 19.80%. Its Return on Equity is 21.36, and its Return on Assets is 14.49. These metrics all suggest that Urban Outfitters, Inc. is doing well at using the money it earns to generate returns.
What about valuation? This company’s Enterprise Value to EBITDA is 5.74. The Enterprise Value to Sales for this firm is now 0.73. Urban Outfitters, Inc. [URBN] has a Price to Book Ratio of 2.29, a Price to Cash Flow Ratio of 7.93 and P/E Ratio of 11.52. These metrics all suggest that Urban Outfitters, Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Urban Outfitters, Inc. [URBN] earns $164,609 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 50.19 and its Total Asset Turnover is 1.92. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 2.15 and its Current Ratio is 3.11. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Urban Outfitters, Inc. [URBN] has 101.91M shares outstanding, amounting to a total market cap of $3.21B. Its stock price has been found in the range of 27.60 to 52.50. At its current price, it has moved by -40.11% from its 52-week high, and it has moved 13.91% from its 52-week low.
This stock’s Beta value is currently 0.55, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 53.17. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Urban Outfitters, Inc. [URBN] a Reliable Buy?
Shares of Urban Outfitters, Inc. [URBN], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.