Urban Outfitters, Inc. (URBN): Here’s Why the Stock is Down Today

Because the quarter-to-date trends are tracking below their initial estimates, the analysts lowered their second-quarter earnings forecast to 53 cents per share, down from 55 cents, and their full-year estimate down by 2 cents to $1.96. In comparison, the company posted 4% increase in comps during the second quarter past year.

06/10/2016 – Urban Outfitters, Inc. had its “sector perform” rating reiterated by analysts at RBC Capital.

Over the last twelve months Urban Outfitters, Inc.’s share price has decreased from 35.16 to 26.13, changing by -25.68%. The stock’s market capitalization is 3.08B, it has a 52-week low of 19.26 and a 52-week high of 36.99.

William Blair analysts were mixed on Urban’s outlook, saying in a research note Friday that they believe the brand picked up more meaningfully after Memorial Day.

Another important metric used by institutional and retail investors alike, is the analyst price target on a stock. They now have a United States dollars 32 price target on the stock. The company’s revenue was up 3.2% compared to the same quarter previous year. They are maintaining their “long-term positive view on shares as the Urban Outfitters and Anthropologie brands continue to make a recovery”, citing meaningful upside to operating margin and longer-term growth opportunities stemming from a new category and global expansion.

The parent company of several retail brands, which includes Free People, Anthropologie, and Urban Outfitters, admitted in its 10-Q regulatory filing that the company is now exposed to fluctuating purchase price in merchandises, along with foreign currency headwinds and changing interest rates. According to the SEC, on April 6, 2016, Robert H Strouse (director) sold 30,000 shares at $33.92 per share price.

The apparel retailer, which was first opened back in 1970, has transformed into a mullti-national clothing company with over $3 billion in sales annually. The Retail segment consists of the Company’s Urban Outfitters, Anthropologie Group, Free People and Terrain brands, whose merchandise is sold directly to the Company’s customers through retail stores, Websites, mobile applications, catalogs and customer contact centers. The Anthropologie Group consists of the Anthropologie and Bhldn brands.