Zacks Research Issues Optimistic Forecast for URBN Earnings

Key Points

• Zacks Research raised its Urban Outfitters EPS forecast for Q3 2027 to $1.53 from $1.46 and lifted full-year estimates for FY2027, FY2028 and FY2029 to $6.14, $6.65 and $7.17, respectively.
• Despite the improved earnings outlook, Zacks maintained a Hold rating. Wall Street’s overall view is more favorable, with a “Moderate Buy” consensus and an average price target of $89.75.
• Urban Outfitters recently reported $1.72 EPS and $1.66 billion in quarterly revenue, with sales rising 10.4% year over year; shares opened at $77.08, while the company’s CFO sold 5,700 shares at an average price of $80.75.

Urban Outfitters, Inc. (NASDAQ:URBN - Free Report) - Equities researchers at Zacks Research boosted their Q3 2027 earnings per share (EPS) estimates for shares of Urban Outfitters in a report issued on Wednesday, September 16th. Zacks Research analyst Team now expects that the apparel retailer will post earnings per share of $1.53 for the quarter, up from their previous forecast of $1.46. Zacks Research has a "Hold" rating on the stock. The consensus estimate for Urban Outfitters' current full-year earnings is $6.16 per share. Zacks Research also issued estimates for Urban Outfitters' Q4 2027 earnings at $1.59 EPS, FY2027 earnings at $6.14 EPS, Q1 2028 earnings at $1.49 EPS, Q2 2028 earnings at $1.94 EPS, Q3 2028 earnings at $1.63 EPS, Q4 2028 earnings at $1.59 EPS, FY2028 earnings at $6.65 EPS, Q1 2029 earnings at $1.41 EPS and FY2029 earnings at $7.17 EPS.

URBN has been the topic of several other reports. BMO Capital Markets started coverage on shares of Urban Outfitters in a report on Tuesday, September 8th. They issued a "market perform" rating and a $80.00 price target on the stock. JPMorgan Chase & Co. boosted their price objective on Urban Outfitters from $97.00 to $110.00 and gave the stock an "overweight" rating in a report on Tuesday, August 18th. Wells Fargo & Company upped their target price on Urban Outfitters from $75.00 to $80.00 and gave the company an "equal weight" rating in a research report on Thursday, August 27th. UBS Group increased their target price on Urban Outfitters from $80.00 to $82.00 and gave the stock a "neutral" rating in a research note on Thursday, August 27th. Finally, Citigroup reissued a "neutral" rating on shares of Urban Outfitters in a report on Friday, August 28th. Eight investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $89.75.

Urban Outfitters Stock Performance

Shares of URBN stock opened at $77.08 on Thursday. Urban Outfitters has a 52 week low of $59.53 and a 52 week high of $85.43. The company has a market capitalization of $6.60 billion, a price-to-earnings ratio of 12.02, a PEG ratio of 1.19 and a beta of 1.26. The company has a 50-day simple moving average of $76.07 and a 200 day simple moving average of $71.75.

Urban Outfitters (NASDAQ:URBN - Get Free Report) last issued its quarterly earnings data on Thursday, August 27th. The apparel retailer reported $1.72 earnings per share for the quarter, meeting the consensus estimate of $1.72. The company had revenue of $1.66 billion for the quarter, compared to analyst estimates of $1.65 billion. Urban Outfitters had a net margin of 8.79% and a return on equity of 18.64%. The company's revenue was up 10.4% on a year-over-year basis. During the same period in the prior year, the firm earned $1.58 earnings per share.

Insiders Place Their Bets

In other Urban Outfitters news, CFO Melanie Marein-Efron sold 5,700 shares of the business's stock in a transaction dated Friday, September 4th. The shares were sold at an average price of $80.75, for a total value of $460,275.00. Following the completion of the sale, the chief financial officer owned 11,323 shares of the company's stock, valued at $914,332.25. The trade was a 33.48% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. 32.10% of the stock is owned by company insiders.

Institutional Investors Weigh In On Urban Outfitters

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Eurizon Capital SGR S.p.A. acquired a new stake in Urban Outfitters during the fourth quarter worth approximately $27,000. Allworth Financial LP acquired a new position in Urban Outfitters in the 2nd quarter valued at $31,000. Kilter Group LLC acquired a new position in Urban Outfitters in the 2nd quarter valued at $35,000. NewEdge Advisors LLC lifted its position in shares of Urban Outfitters by 87.0% during the 2nd quarter. NewEdge Advisors LLC now owns 531 shares of the apparel retailer's stock valued at $38,000 after acquiring an additional 247 shares during the period. Finally, Caitong International Asset Management Co. Ltd acquired a new stake in shares of Urban Outfitters during the 4th quarter worth $47,000. 77.61% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Urban Outfitters

Here are the key news stories impacting Urban Outfitters this week:

• Positive Sentiment: Zacks Research raised its EPS forecasts for FY2027 to $6.14 from $5.97, FY2028 to $6.65 from $6.56, and FY2029 to $7.17 from $6.73. Estimates were also increased for Q3 2027, Q4 2027, Q3 2028 and Q4 2028, indicating stronger expected profitability over the longer term.
• Positive Sentiment: The current-year consensus EPS estimate remains $6.16, and URBN’s recent results showed 10.4% year-over-year revenue growth, suggesting the retailer continues to benefit from sales momentum. Urban Outfitters and sector performance
• Neutral Sentiment: Despite the higher long-term forecasts, Zacks Research maintained a Hold rating on Urban Outfitters. This suggests analysts see a balanced risk-reward profile rather than a clear catalyst for a stronger rerating.
• Negative Sentiment: Zacks Research lowered its EPS forecasts for Q1 2028 to $1.49 from $1.59, Q2 2028 to $1.94 from $1.98, and Q1 2029 to $1.41 from $1.56. These reductions could weigh on sentiment by raising concerns about near-term seasonal demand, margins or operating costs.

Urban Outfitters Company Profile

Urban Outfitters, Inc is a lifestyle retail company that operates a portfolio of consumer brands serving younger and fashion-conscious customers. Its primary brands include Urban Outfitters, Anthropologie, Free People, FP Movement and Terrain, each offering a distinct combination of apparel, accessories, beauty products, home furnishings and related lifestyle merchandise.

The company also operates Nuuly, a clothing rental and subscription service, as well as food and beverage and hospitality concepts connected with select retail locations.

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