Urban Outfitters (NASDAQ:URBN) Downgraded to "Buy" Rating by Wall Street Zen

Key Points

• Urban Outfitters was downgraded from a "strong-buy" to a "buy" by Wall Street Zen, influencing investor sentiment.
• Despite the downgrade, analysts maintain a consensus target price of $75.00 for the stock, with multiple ratings ranging from sell to strong buy.
• The company reported a quarterly earnings beat, with $1.16 EPS compared to estimates of $0.81, reflecting a significant year-over-year revenue growth of 10.7%.

Urban Outfitters (NASDAQ:URBN - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued on Saturday.

Other equities research analysts have also issued reports about the company. Telsey Advisory Group restated a "market perform" rating and issued a $72.00 price objective on shares of Urban Outfitters in a research note on Wednesday, June 11th. Bank of America lifted their price target on Urban Outfitters from $70.00 to $80.00 and gave the stock a "buy" rating in a research report on Thursday, May 22nd. Morgan Stanley raised their price objective on shares of Urban Outfitters from $62.00 to $77.00 and gave the stock an "overweight" rating in a research note on Thursday, May 22nd. Wells Fargo & Company reissued an "equal weight" rating on shares of Urban Outfitters in a research note on Thursday, May 22nd. Finally, Baird R W raised shares of Urban Outfitters from a "hold" rating to a "strong-buy" rating in a report on Wednesday, June 11th. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating, seven have issued a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat, Urban Outfitters currently has an average rating of "Moderate Buy" and a consensus target price of $75.00.

Urban Outfitters Stock Up 1.2%

Shares of URBN traded up $0.93 during trading hours on Friday, hitting $76.21. The company had a trading volume of 2,036,002 shares, compared to its average volume of 1,725,288. The firm has a market cap of $6.83 billion, a P/E ratio of 15.94, a P/E/G ratio of 1.31 and a beta of 1.44. The stock's 50 day moving average price is $71.87 and its 200 day moving average price is $60.20. Urban Outfitters has a 52-week low of $33.86 and a 52-week high of $78.22.

Urban Outfitters (NASDAQ:URBN - Get Free Report) last posted its quarterly earnings data on Wednesday, May 21st. The apparel retailer reported $1.16 earnings per share for the quarter, beating the consensus estimate of $0.81 by $0.35. Urban Outfitters had a return on equity of 17.98% and a net margin of 7.91%. The business had revenue of $1.33 billion for the quarter, compared to analysts' expectations of $1.29 billion. During the same period in the previous year, the firm posted $0.69 EPS. The business's revenue was up 10.7% on a year-over-year basis. On average, research analysts expect that Urban Outfitters will post 3.91 EPS for the current fiscal year.

Insider Buying and Selling at Urban Outfitters

In other news, Director Harry S. Cherken, Jr. sold 35,000 shares of the company's stock in a transaction dated Tuesday, May 27th. The shares were sold at an average price of $74.15, for a total value of $2,595,250.00. Following the completion of the sale, the director directly owned 480,296 shares of the company's stock, valued at approximately $35,613,948.40. This represents a 6.79% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Azeez Hayne sold 12,856 shares of the business's stock in a transaction dated Tuesday, May 27th. The stock was sold at an average price of $73.00, for a total transaction of $938,488.00. The disclosure for this sale can be found here. In the last quarter, insiders sold 159,156 shares of company stock worth $11,636,158. 31.80% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Urban Outfitters

Large investors have recently added to or reduced their stakes in the company. Asset Management One Co. Ltd. grew its holdings in Urban Outfitters by 11.7% during the 2nd quarter. Asset Management One Co. Ltd. now owns 1,340 shares of the apparel retailer's stock worth $97,000 after acquiring an additional 140 shares in the last quarter. Forum Financial Management LP bought a new stake in Urban Outfitters in the 2nd quarter valued at about $259,000. Cullen Frost Bankers Inc. lifted its position in Urban Outfitters by 180.2% in the 2nd quarter. Cullen Frost Bankers Inc. now owns 468 shares of the apparel retailer's stock valued at $34,000 after purchasing an additional 301 shares during the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in Urban Outfitters during the 2nd quarter valued at about $1,872,000. Finally, Moran Wealth Management LLC acquired a new position in shares of Urban Outfitters in the 2nd quarter worth approximately $264,000. 77.61% of the stock is owned by institutional investors and hedge funds.

Urban Outfitters Company Profile

Urban Outfitters, Inc engages in the retail and wholesale of general consumer products. The company operates through three segments: Retail, Wholesale, and Nuuly. It operates Urban Outfitters stores, which offer women's and men's fashion apparel, activewear, intimates, footwear, accessories, home goods, electronics, and beauty products for young adults aged 18 to 28; and Anthropologie stores that provide women's apparel, accessories, intimates, shoes, and home furnishings, as well as gifts, decorative items, and beauty and wellness products for women aged 28 to 45.